Jumpstart Issue 28: 20/20 by Jumpstart Magazine: The Entrepreneur's Magazine

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20 Disruptive Technologies You Haven’t Heard About Yet

The Entrepreneur’s Magazine

Issue 28

January 2020

Breaking Up Big Tech The Streaming War

Japan’s Startup Landscape Branding in the New Decade Crypto Theft

The

BORDERLESS Reshaping cross-border commerce with Airwallex Co-founder

Lucy Liu

Decade

EDITOR’S LETTER

o many of us, piecing together an objective overview of the 2010s is hardly an exercise that’s brimming with optimism. A global revival of nationalism and nativism has deepened socio-economic and political divides, where cries of liberal ideologies are voiced with increasing fervor. Few are coming out of the decade without having become a little more jaded about the institutions and people we must entrust for governance and leadership. Before we continue painting this bleak image, it’s worth reminding ourselves that skepticism also characterized the last time we were forced into introspection. When we parted with the 2000s, the bursting of the Dot-com bubble, fall of Enron, and global recession were just some of the events that forced us to ask: where did we go wrong? As we learn in life, time and time again, the answer always comes to light with a change in perspective. Through the exposure of corporate greed came more rigorous measures to prevent fraud, mismanagement, and reckless speculation. The opportunity for China and India to rise as economic superpowers has allowed more social mobility, innovation, and balance of power. If we apply the same logic to the 2010s, then it soon becomes evident how far we’ve come. More knowledge about the irrevocable pace of environmental destruction has intensified youth activism against climate change. The #MeToo movement has ignited a new narrative about gender equity–one that has spread around the world.

In this issue, we look past the divisions and focus on how globalization has accelerated innovation, and–in turn– enabled more cultural cohesion through shared experiences. In our cover story, we explore the idea of borderless commerce through our interview with Airwallex Co-founder Lucy Liu. The Australia-founded forex startup is laying the foundation for new financial infrastructures that make it possible for businesses of all sizes to expand globally. We also look ahead to examine defining technologies of the next decade, how to succeed as a consumer brand in the 2020s, and what we can expect as the ‘Streaming War’ heats up. As always, we speak with thought leaders and analyze topics that are sure to spark your interest, such as crypto theft and the relationship between tech and warfare. To our readers: thank you for your ongoing support and encouragement. We always welcome your feedback and look forward to hearing from you. Wishing everyone a great start to the new year–from all of us at Jumpstart.

Min Chen Editor in Chief Have thoughts about this issue? We’ d love to hear from you. Email us at [editors@jumpstartmag.com] and include your full name and email address. Please note that letters to the editor may be edited for length and clarity.

WWW.JUMPSTARTMAG.COM Unique content, press releases, directories, videos, and more.

MANAGING DIRECTOR EDITOR IN CHIEF

James Kwan

Min Chen

EDITORIAL ASSOCIATE

Nayantara Bhat

DIRECTOR OF OPERATIONS

Anita Chan

DIRECTOR OF MARKETING

Reggie Addae

DIRECTOR OF PRODUCT DEVELOPMENT FOUNDER / ADVISOR ADVISORS

Maggie Lau

Yana Robbins

Joseph Chow, Carman Chan, Shitiz Jain, Leo Ku,

Derek Kwik, Jeanne Lim, Prem Samtani

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JOURNALISTS IN RESIDENCE Jordan Lee, Daneesh Shahar SPECIAL THANKS

Khadija Azhar, Jasmine Chan, Youri van Elsland

COVER PHOTOGRAPHY

Airwallex

Jumpstart is available at over 1,500 locations throughout Bangkok, China, Ho Chi Minh City, Hong Kong, Jakarta, Melbourne, New York City, Silicon Valley, Singapore, and Sydney.

Copyright © 2020 Jumpstart Media Ltd. The contents of the magazine are fully protected by copyright and nothing may be reprinted without permission. The publisher and editors accept no responsibility in respect to any products, goods or services that may be advertised or referred to in this issue or for any errors, omissions, or mistakes in any such advertisements or references. The mention of any specific companies or products in articles or advertisements does not imply that they are endorsed or recommended by this magazine or its publisher in preference to others of a similar nature which are not mentioned or advertised. Published articles do not necessarily represent the views or opinions of Jumpstart Magazine. January 2020

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Airwallex’s Melbourne office. Photo courtesy of Airwallex.

Ja n u a ry 2 0 2 0

N o. 28

Cover Story

The Borderless Decade

Globalization and the new global financial paradigm with Airwallex Co-founder Lucy Liu

ECOSYS TE M S

T RE N D S

CU LT U RE A N D S O CI E T Y

A New Decade for Japanese Startups

20 Disruptive Technologies You Haven’t Heard About Yet

Science Fiction, Meet Lethal Weapon January 2020

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FEATURES

S TA RT U P T O O L KI T

7 Essential Metrics for Ecommerce Startups How to get the most out of your customer data T RE N D S

Streaming All the Way The war has begun, and entertainment giants are going all out T RE N D S

Should Big Tech be Broken Up? The feasibility and necessity of Elizabeth Warren’s plan T RE N D S

Photo courtesy of Away.

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Crypto Capers and the Digital Wild West Unpacking the vulnerabilities in the cryptocurrency market T RE N D S

Decoding Reality When in the wild, how does blockchain thrive? F O U N D E R S T O RI E S

Thinking Outside the Box Lessons in strategic acquisitions from Boxful GUEST COLUMNS

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A Necessary Network Effect By YEELING CHANG Women are leading next-generation consumer brands

First the Sales, Then the Customers By WILLIAM GILCHRIST How a lack of sales experience is killing the tech community CONVERSATION STARTERS

Pangaea Reimagined Market findings from a borderless world LIFESTYLE P O D CA S T RE V I E W

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Vanguard by Shopify Studios BOOK REVIEW

Edge by Laura Huang P RO D U CT RE V I E W

TinyBitz: Personalized goodies that are meaningful ET CETERA E V E N T RE V I E W

Cyberport Venture Capital Forum ONE LAST QUESTION

What is one travel experience you’ll never forget?

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CONTRIBUTORS

REGG IE ADDAE

KHADIJA A ZHAR

N AYA N TA R A B H AT

KENNETH BOK

Reggie is the Director of Marketing and Special Programs at Jumpstart. Prior to joining Jumpstart, he was the Marketing Manager at Global Sources. Reggie is originally from Ghana, and moved to Hong Kong because he wanted to be closer to the beaches. reggie@jumpstartmag.com Read his feature on page 22.

Khadija is a third-year Economics and Finance student at the University of Hong Kong, currently working as an Editorial Intern at Jumpstart. While she spends most of her time searching for dogs to follow on Instagram, she also dabbles in writing and digital art. khadija@jumpstartmag.com Read her feature on page 48.

Nayantara is Jumpstart’s Editorial Associate. She is passionate about gender equality and good food, and loves to read and write about new and unusual applications of technology. She has lived in India, Indonesia, and New Zealand before moving to Hong Kong. nayantara@jumpstartmag.com Read her feature on page 79.

Kenneth is the Head of Growth and Strategy at Zilliqa. With over a decade of experience in the fields of entrepreneurship, finance, and deep tech, he drives the enterprise adoption of Zilliqa’s blockchain platform. Kenneth has also been a seed and angel investor. zilliqa.com Read his feature on page 68.

JASMINE CHAN

S H O D E WA N

YO U R I VA N E L S L A N D

F R A N Ç O I S H U R TAU D

Jasmine is an Editorial Assistant at Jumpstart. Born in Melbourne and raised in Hong Kong, she is studying Linguistics at the University of Hong Kong. Jasmine is passionate about art, Broadway, and cultural exploration. She loves visiting art exhibitions or belting out her favorite songs. jasmine@jumpstartmag.com Read her feature on page 36.

Sho is the Founder of WorkHap, a coaching and leadership training company in Hong Kong. Its mission is to make work a happier place for everyone. He helps ambitious job seekers find their ideal next role and partners with leading companies to teach leadership skills to managers. workhap.com Read his feature on page 30.

Youri is a Business Strategy Associate at Jumpstart. He received his Master’s degree in Organization and Management from the University of Antwerp. Youri is passionate about personal and professional development. He is originally from the Netherlands. youri@jumpstartmag.com Read his event reviews on page 93.

François began his design career in 2008 as a studio designer after graduating from Shanghai University and L’Ecole de Design de Nantes. He has received several international design awards,including the Red Dot Design Award, German Design Award, and A’Design Award. francoishurtaud.com Read his feature on page 29.

M A SARU IKEDA

WING LEE

D AV E M A L H O T R A

DANEESH SHAHAR

Masaru is the Co-founder of Bridge, one of Japan’s leading media outlets covering the local and international startups. In 2018, the company was acquired by PR Times. He has also co-founded several system integration companies and consulting firms. thebridge.jp/en Read his feature on page 33.

Wing is an entrepreneur and investor who invests in startups across the education, esports, and tech sectors. He is a former investment banker with more than 10 years of experience in corporate finance and debt capital markets across London, Singapore and Hong Kong. wing@hashreader.com Read his feature on page 18.

Dave is the CEO of SoldOutt, a sales-focused, white-labeled ticketing platform that has achieved over 90% lead-to-conversion rates for events in Thailand, Hong Kong, the Philippines, and Germany. He is also the founder of ShakeSphere and Dinoza. soldoutt.com Read his feature on page 21.

Daneesh is a senior at New York University Stern School of Business, studying Quantitative Economics and Computing and Data Science. He’s fascinated by the crowdsourcing model in shaping wide-scale employment, and the role tech plays in driving the esports industry. daneesh@jumpstartmagazine.com Read his feature on page 41.

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GUEST COLUMNS

A Necessary Network Effect Women are leading next-generation consumer brands, and for good reason By YEELING CHANG

emale consumer brands are rising in popularity, so it’s only right for the number of female founders to follow suit. This much-welcomed trend will only pick up pace over the next few years, as the market size is estimated to be worth US$50 billion by 2025. In 2019, there was just over $100 million in venture capital funding for startups founded by women. With this growth comes the need to provide female entrepreneurs with networks for support and knowledge-sharing. Some examples include clubs like The WW Club and Allbright, and co-working spaces for women, such as The Wing and Blooming Founders. But for these initiatives to have a real impact, female entrepreneurs must have access to funding. Plum Alley is an organization that supports early-stage companies founded by women, and is pioneering a membership-driven investing model that encourages women to enter the investment world. It’s no surprise that more women are entering the male-dominated industry, as the data speaks for itself: companies with more women in leadership positions per8

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form better financially. For instance, Pax Ellevate Global Women’s Leadership Fund saw returns at 7.41%, outperforming the MSCI World Index’s return of 6.60% [for the one-year, three-year, and five-year periods ending June 30, 2019]. Female entrepreneurs are often motivated to create a product or service when they have personally experienced a painpoint they want to solve or a need that has not been met. These market gaps are usually a result of the fact that many consumer products or services are created with the male consumer in mind. In the lifestyle space, a great example is Away. Founded in 2015 by Jen Rubio and Steph Korey, the idea for the company came about after Rubio’s suitcase broke, leaving a trail of her clothes at the airport. Shopping for a new suitcase led her to realize that luggage was being marketed in an outdated way. Looking to reinvent the space, the founders set out to build a direct-to-consumer company that offers high-quality and well-designed luggage. Two of Away’s signature suitcases: ‘The Carry-On’ and ‘The Medium.’ Photo courtesy of Away.

Having raised over US$156 million as of 2019, Away is one of the highest-funded female-backed startups today. We are also seeing many startups addressing health and wellness for women. Recognizing that men and women are biologically different, the founders of Seed developed a female synbiotic (a combination of prebiotics and probiotics). The female version has 24 strains of good bacteria versus 20 strains for men, wherein the additional four strains have anti-inflammatory properties to relieve period cramps, antioxidants to boost skin health, and folate strains to support fertility. In the wellness space, Care/of and Ritual are examples of supplement startups creating vitamins for women. We are seeing growing numbers of birth control, fertility, menopausal, and emotional health startups as well, such as FloHealth and Genneve–to name just two. The overarching similarities among all these up-and-coming female-led startups are the founders’ desire for flexibility in time management, combining business with a social mission, and finding work that is enjoyable and meaningful. Lifelong-learning aside, female founders are very much driven by the feeling that one’s opportunities for personal development are limitless. As a result, during networking events for women, the conversations are rarely about understanding how to start a business. They are more about meeting and talking to other inspirational women who have been successful in their field and learning from their experiences. Finding a network of support is vital, as it gives one the confidence to reach higher.

ABOUT THE AUTHOR

YeeLing is Content Director at CAREhER, the only bilingual platform that takes a comprehensive approach to personal and professional development for women. CAREhER offers personal branding and coaching, and resources for learning, such as interviews with successful women. She is also an entrepreneur with over 12 years of experience in the F&B industry. careher.net

GUEST COLUMNS

The Much-Needed Return of Honest Capitalism Do we want more ‘WeWorks’? By ELAINE TSUNG

apitalism is known to be an economic system where investments and the distribution of goods are determined by competition in the free market. As history has shown us, capitalism stands out as an effective system, as supply and demand in a free market should give consumers products at fair prices. Suppliers can also receive healthy returns as long as customers are happy with them. However, things seem to have gone astray in recent years. Capital market mechanics have become skewed; the old school supply-demand equilibrium starts to malfunction when products and services are offered at unrealistically low prices or even for free. I call this practice ‘narcissistic capitalism’–a system utilizing capitalist infrastructures to create companies that monopolize the industry by unnaturally pricing out the competition. The enabler is the accumulation of capital, in vast abundance. With this capital, companies can first create the supply and then acquire customers by offering exceptionally cheap products. By employing a predatory pricing strategy, these companies can eliminate or buy out their competitors. So, what happens after the monopoly has been created? A price increase, of course. Consequently, a select few companies get bigger and bigger, and the smaller players disappear altogether–a narrative that is playing out with increasing frequency. The problem is perpetuated by the fact that investors continue to inject capital into these companies despite their already-outrageous valuations, knowing they possess mindshare and control over the market and their customers (looking at you, Facebook). Many companies have failed in this endeavor–WeWork being the most notable example in recent years–but more should and can be done to put an end to this trend. As a responsible stakeholder in the market–whether one is a customer or business owner–it’s crucial to support

sustainable growth. Fellow entrepreneurs should focus on business profitability first. A proper valuation will come if you have a robust business model. Do not get distracted by achieving high valuation, or go down the route of creating unrealistic projections to get investment from VCs. What’s even better is to build businesses that deliver double (financial and social impact), or triple (financial, social, and environmental impact) bottom lines. As consumers, we should also support responsible companies by making smart purchase decisions. We should know to look beyond the price tags, marketing, and packaging; instead, taking the time to understand more about the vision and values behind the product. Be a smart consumer, and spend your money wisely by supporting causes that you believe in.

As an animal lover, I have been buying cruelty-free products for years. Recently, I’ve noticed a broader trend in the cosmetic industry, where almost all brands are adopting a more ethical stance. This shift is a direct result of education on the part of consumers, and every industry has the potential to transform. If we all do our part and be more honest with ourselves, significant change can happen.

ABOUT THE AUTHOR

Elaine is the Founder and CEO of Garage Society, a regional co-working operator founded in 2014, with 16 locations in Hong Kong, Singapore, India, and throughout Southeast Asia. She was awarded ‘Entrepreneur of the Year’ by the American Chamber of Commerce in 2018. Elaine is passionate about animal advocacy. thegaragesociety.com

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GUEST COLUMNS

Do I Have Your Attention? In today’s economy, the currency of power is not attention–it’s engagement By ELISA CHOY

language-based data) in the online universe. We read, analyze, contextualize, and categorize every piece of content online that interests you. Polls and metrics like impressions, page views, followers, and ‘likes’ have limitations because they are blunt measures of engagement. They describe a slice of what is happening, but they don’t tell the story of ‘why.’ With machine learning and open-source datasets, we can analyze the entire market in its natural environment (i.e., not being asked a question), what content it’s reading and watching, and analyze–through contextual understanding based on natural language processing–how it feels and the intensity of the emotion. As humans, we make decisions based on emotion, and the more intensely we feel about something, the higher the likelihood we will change our behavior. If I love iPhones, then I will sleep outside the store for days to be one of the first to buy it–I’m engaged. If I hate a brand, then I will tell everyone I know to stay away–I’m engaged. If I think a brand is ‘okay,’ then it means I ‘don’t care’–I’m not engaged. Our ability to accurately measure emotions without human bias to predict behavior can unlock so many insights into audience engagement strategies.

Case study n January 2018, we worked to understand which narratives incited the most profound engagement about climate change. There were hundreds of topics in this space, from renewable energy, to sustainability, to electric vehicles. Content creators, brand strategists, product developers, and policymakers all want to know: what’s the most compelling story? We uncovered several threads of engagement. One of them involved school children, as we identified their deep emotional connection to environmental activism. Two events then took place. In March 2019, high school students across Australia orchestrated a climate change protest. In September 2019, the global climate change strike took place, which was led by the young and inspiring Greta Thunberg.

merican economist and political scientist, Herbert Simon, was ahead of his time. In the early 1970s, he realized that information would no longer be a scarce resource in an era of media saturation. Instead, people’s attention would be in demand. It doesn’t matter whether you’re a startup, enterprise, entertainer, or politician–anyone who is seeking to monetize their profile or brand is vying for elbow room in the attention economy. At this point, it’s almost an impossible task. Our attention is fragmented, and our patience is thin. Figuring out how to monetize attention is both a challenge and an opportunity. Even traditional industry players–such as advertisers, media outlets, and the entertainment industry–are finding themselves in uncharted waters amongst a sea of niche, digital competitors. Ratings are falling, and meaningful engagement is challenging to measure. The hard truth is, if you don’t capture the attention of your audience and consumers, your brand will not survive. Attention is power. Luckily, capturing it is possible. Attention can be bought, and hype can be manufactured. If you’re a business with brand equity, it’s easier to grab attention. But gaining attention is only one part of the equation; once you have it, keeping it and making meaningful engagement is far more complicated. It needs to be earned. The deeper you can engage, the stronger the emotional connection you’ll be able to foster with your audience, and the higher the brand loyalty you will build. Successful brands today are part of a cultural narrative that defines us.

Using artificial intelligence (AI) to uncover emotions s a data analyst and data translator, much of my work has been in understanding audience engagement through big data. We analyze petabytes of open source, topical content (i.e.,

e measured the emotion, uncovered what was deeply engaging, and predicted behavior. Imagine the world of possibilities that is now open for any industry, brand, and business. If your audience is human, you need to understand their emotions. There are better ways to drink soup. Put down the fork.

ABOUT THE AUTHOR

Elisa is known as ‘the Data Whisperer.’ After 16 years in corporate roles, Elisa founded Strategic Data Central, a Sydney-based boutique data analytics consultancy that transforms data into actionable insights for business leaders. She is also Co-founder of Maven Intelligence, Australia’s first strategic branding agency powered by AI, which helps leading brands use big data to measure human emotion and predict behavior. mavenintelligence.com.au

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GUEST COLUMNS

What’s Next for Smartphones The mobile phone of the future will be a metaphor By UDAY DANDAVATE

otorola recently made a bold move. It revived the nostalgia of the wildly popular Razr phone of the 2000s by introducing a pocket-sized flip phone with the intelligence of a modern smartphone. Today, most premium phone brands have adopted the design language and user experience principles set by Apple. Differentiation between brands is diminishing, as competing models begin to look and feel the same. So, what does the future of mobile phones look like? One of my professors in design school believed that an ideal design must not stand out, but become an almost invisible– yet inseparable–part of the user’s life. This design philosophy will influence the future of mobile phones and other tech gadgets. Some of the principles that will guide mobile phone designers are:

Designing interfaces around metaphors will be more important nstead of solely creating new aesthetic design languages, tech companies are focusing on designing unique experiences using cutting-edge technologies, such as AI/ML and mixed reality. Using metaphors in their systems helps achieve this goal. A metaphor maps a relationship from the real world to the interface with a technological product.

Assistance will depend on what people expect from the product electing the right metaphor and defining a user’s relationship requires careful study of what assistance the user expects from the product. For example, Tesla has based the relationship between vehicle and driver on AutoPilot, which allows the vehicle to take over if the driver is not focused or shifts their attention elsewhere.

Products will be both intelligent and empathic o best assist the user, products must have the capacity to know what the user needs, how the user feels, and respond

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appropriately. Sensor technology and AI/ ML have created new ways for designers to develop personalized experiences. Empathic design is another big focus. Designers are conceptualizing experiences that measure emotions and stress levels to create a more comfortable and joyful environment. Google Home, for example, caters to both the assistance and emotional needs of every family member.

Personal data must be protected or users to allow a phone to track their behaviors, location, and preferences, they must trust that their data is confidential. If trust exists, a long-term relationship with the brand can be formed.

of a gathering or improve the physical sensations of the environment, then it will be seen as a part of the group dynamic. People already have access to tools for communication. In the future, the focus will be on deepening connections with more insight into people’s personalities, attitudes, and values. These features will create close and reciprocal relationships.

Buying smartphones will be a new experience he entire customer journey will be designed to be a meaningful ritual with emotional resonance. The use of form, colors, light, voice, and other sensory stimuli will transform the process of purchasing, tapping into nostalgia and current trends. Today, the Apple Store is considered the benchmark for a delightful retail experience, but all future customer journeys will be more immersive, intelligent, delightful, and personalized.

Voice assistants must be humanized urrent voice assistants speak to the user in a mechanical voice, but people will feel more at ease if empathy and humor are introduced into conversations. Chinese automobile manufacturer Neo introduced Nomi, a voice and graphical interface that is expressive and emotional.

Smartphones will be able to better relationships eople will pay attention to how their smartphones influence the environment around them, both socially and physically. If a device can change the mood

ABOUT THE AUTHOR

Uday is the Founder and CEO of San Francisco based co-creation firm, SonicRim. He is recognized as a pioneer in co-creation and frequently travels worldwide to conduct workshops and teach senior executives and university students the importance of co-creation in visioning the future. SonicRim has conducted research studies in over 45 countries worldwide. sonicrim.com

GUEST COLUMNS

Our obsession with technologies that provide even minute amounts of convenience or instant gratification–a reliance that causes us to overpay for them– will define our future. ing experts will need to adapt to even more granular user personas and journeys. Our obsession with technologies that provide even minute amounts of convenience or instant gratification–a reliance that causes us to overpay for them–will define our future. The data that companies have been busy collecting will provide the fuel. Technologies designed for the individual only magnify our irrationalities, yet next-generation technologies will try to make sense of all these irrational choices, using big data to truly understand us–in a way, perhaps, even more than we understand ourselves.

The 2010s, Revisited Using lessons learned from the 2010s to predict the 2020s By LEROY YAU

nother decade has come and gone. It’s undeniable that tech has shaped much of our society over the past 10 years. The easy answer to what’s defined the 2010s is the deployment of 4G, proliferation of smartphones, commercialization of cloud services, social media craze, and advancement of AI. What about the future? 5G, quantum computing, the realization of general AI, the propagation of blockchain technologies, and larger mobile devices with amazing cameras are some of the popular answers. As we ponder all this, perhaps the bigger question is: What have we learned about this last decade that will be of relevance in the upcoming one? Let me get my crystal ball out.

Monopolization he winner-take-all trend is happening across the globe, as seen with search engines, social media platforms, superapps, and infrastructure builders of the cyberspace. WeChat, GO-JEK, and the beast

that is Facebook/Instagram/WhatsApp are just three examples, and the amount of data they’re collecting from us will make their AI engines more accurate. Apart from the economic and political implications of these tech monopolies, the real impact is that a selected few can and will control how new technologies will be developed and deployed. After all, we still understand little about how tech affects us, despite growing pressure on regulators to find out. It is unreasonable to ask any regulator to fully comprehend the rapid development of technologies, let alone try to manage them. Thus, the real consideration is whether the government can even control big tech in the first place.

Individual design here has been a significant amount of buzz surrounding ‘human-centered design,’ but design alone is not going to be enough. We are desperate for technologies that can continue to fulfill our ever-growing personal needs, so future design-think-

s these two dynamics come head-tohead, what’s going to happen to our future? Imagine we have the most powerful technologies, whether they originate from a tech giant or another actor, satisfying our ever-more self-centered and individual needs. Does this mean we are controlling the technologies and the companies behind them, or is it the other way around? Who has the fundamental right to moderate this phenomenon? As we grapple with these questions, perhaps it’s wise to come to terms with the fact that there is no crystal ball after all.

ABOUT THE AUTHOR

Leroy is a Partner at 43 Ventures and an Executive Director of Everiii–both investment and advisory firms that build early-stage business ventures. He has extensive experience in operations, risk management, cybersecurity, and corporate governance. Leroy is also a fellow member of the Hong Kong Institute of Certified Public Accountants and CPA Australia. 43ventures.com

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GUEST COLUMNS

Braving the Unknown Walking the walk and finding meaning through innovation By ALYN WATKINS

t was 3 pm on March 23, 2017. Our Hong Kong team was on a conference call with our startup’s headquarters almost 10,000 kilometers away in Dublin. The call was short and emotional. After five years, US$50 million in venture capital, and expanding to more than 10 countries, the company was going into liquidation. We were told to pack up immediately and leave everything behind. At 5 pm the following day, I was holding my daughter for the first time. I was a new dad, filled with a combination of awe, love, and fear. I was also someone who didn’t have an income while living in the world’s most expensive city. Something clicked. I felt clarity and drive like I never had before. What mattered from that moment onward was my baby girl and the world she will inherit. For a decade, I was working in various startups focusing on promotion and loyalty software solutions for some of the largest fast-moving consumer goods companies. They were effectively encouraging people in emerging markets to consume unhealthy drinks and snacks in single-use packaging, contributing to an increasingly unhealthy and polluted world. How did this happen? Growing up, I was an idealist. I was interested in the world outside the small

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valley where I grew up in South Wales. Two weeks after finishing my undergraduate degree, I was on a flight to teach English in a small town in China, where I was one of only three foreigners in the entire city. Watching China’s development on the ground made me realize there were more opportunities than back home, and it pushed me to pursue a career in the innovation sector. I worked in a range of industries as a tech consultant. It all became routine, and I realized–in my moment of clarity–that a change was needed. So, I decided to seize an idea that had been brewing for some time and see if I could take it somewhere. When training for my first marathon, I realized that we create activity data all the time, but it isn’t being used. I decided to create a platform that converts walking and running data into points and rewards. By working with local reward partners and causes, we contribute to and strengthen the economy, and users can select to upgrade their account where a portion of their subscription is given to a cause. Users can also reduce their carbon footprint if they decide to walk or run instead of getting into a form of transport. Where possible, we collaborate with green partners to increase the company’s impact even more.

I knew that just because I had worked for startups, it didn’t mean I knew ‘how’ to start one myself (Side note: it is as hard as people say, even harder, and you soon understand why 95% of startups fail). I graduated from the Founder Institute in Autumn 2017, built a prototype in Winter, and got accepted into the Cyberport Incubation Program in Spring 2018. Fast forward to Wednesday, November 20, 2019. It was 8 am, and I was holding my second daughter. By the time this issue is published, the latest version of the app will have launched. It’s been a tough journey over the past two and a half years, working full-time while building a startup (luckily, with an employer who supported me) plus having a family. In a way, you could say that since 2017, I’ve had three babies. I hope they all grow and contribute to a better world.

ABOUT THE AUTHOR

Alyn is the Founder of Bravera, an app that converts your walk and run data into points and rewards with local partners. The company is a graduate of Founder Institute and listed as one of the top 10 Hong Kong startups to watch. He’s worked in startups for almost a decade launching products and services throughout Asia. bravera.co

GUEST COLUMNS

First the Sales, Then the Customers How a lack of sales experience is killing the tech community By WILLIAM GILCHRIST

here is a disturbing trend rising within the tech investment community. Capital is being carelessly distributed at a rapid rate into under-vetted products with an undefined product-market fit. Founder experience in facilitating sustainable business strategies is also being vetted at a much lower rate than one would expect. Rarely ever do investors look into a founder’s sales experience before entrusting them with building sales and marketing structures for their companies. Research shows that only 8% of tech CEOs have primary backgrounds in sales (Korn Ferry Institute). Ironically, most investors tend to prioritize revenue generation and market expansion as key targets for their portfolio companies. Investors are imposing sales and marketing targets on companies run by people who have never sold or marketed products. This ‘product first’ investment strategy works in terms of generating buzz from the media. It sounds attractive on podcasts and press releases, leaving the leadership with a feeling of being ‘brilliant.’ However, users and staff end up suffering the

Investors are imposing sales and marketing targets on companies run by people who have never sold or marketed products. consequences. Take, for example, the fact that Singapore has consistently had a 30% startup failure rate within the first 36 months (SBS Group). We have accepted these metrics, yet have never challenged their logic–or our behaviors–to improve them. The unacknowledged truth understood by most people in the Southeast Asian startup community is that returns are a source of intense pressure on companies and investors alike, but rather than synergizing strategies between investors and startups, poor results are covered up with forecasts and ‘growth numbers.’ It has grown to the point that some companies are merely looking for a ‘good enough story’ to tell their investors to stay afloat. We don’t need to look very far to see examples of how this has had a significant impact on companies. Notably, Honest-

bee currently owes over US$1 million in unpaid salaries to its employees, and has discontinued its overseas operations (TechCrunch). We are often told that investment firms will give their ‘minds and hearts’ to their portfolios, but in reality, we need their ‘hands.’ Where are the incubators that build sales and marketing departments for their companies? Where are the leadership, cultural, and sales training budgets for founders within VC firms? How often do investors teach their portfolios how to win rather than hoping that they will? There are positive instances of active startup support in the market. For example, Malaysia’s MDeC Enterprise Division is working to bring in external specialists in business development, sales, marketing, and finance to support their startups. Aside from these isolated cases, there aren’t many similar stories in the region. Investors sometimes suggest that they don’t want to be seen as distracting or exerting too much influence on the founders in their portfolio. However, giving these companies vast amounts of capital with no direction leads to returns-focused behaviors, and diminishes the incentive for quality output. It sets these companies up to fail. The best solution is for investors and advisors to be more hands-on with their investments, and develop systems based on their experience to enhance areas of their portfolios from the ground up. Take the ego out of the equation and listen to outside voices looking to utilize technology for a broader purpose. Otherwise, we are simply spinning the wheels on an industry that has a great deal of promise.

ABOUT THE AUTHOR

William is the CEO and Founder of Konsyg, an on-demand provider of sales services for tech companies. He began his career as a Media Relations Manager for Wai White Dragon, moving on to roles in education, marketing, and business development. William was most recently an APAC Knowledge Manager for Google, and Director of Sales at TradeGecko. konsyg.com

January 2020

Jumpstart Magazine

CONVERSATION STARTERS

REIMAGINING PANGAEA

Market findings from a borderless world

DEMOGRAPHICS

10 million

people migrated to G20 countries in 2018 (OECD).

1 OUT OF 6

GLOBAL SIX DEGREES INTERNET PHENOMENA

international students in universities across the world are from China (IOM).

APRIL THE BACON GIRAFFE OF KEVIN

72 PERCENT

on thebecame “Six Degrees of April Based the Giraffe a viral sensation Separation” theory that came about after a live video monitoring the late withofthe of globalization, Six on stages herrise pregnancy was streamed Degrees1.2 of million Kevin Bacon a parlor YouTube. viewersis tuned in to game where players have to find the watch her give birth on camera. By the shortest path between an arbitrary time the stream was turned off, it had actor and232 actor Kevinviews Bacon. accumulated million in total, making it the second most live-viewed channel in YouTube’s history.

of international migrants are of working age (20–64) years (IOM).

28 million

new displacements were linked to conflict and disasters across 148 countries and territories in 2018 (GRID).

20.84 PERCENT

of tertiary educated women emigrated in 2018, compared to 16.4% of men (OECD).

GLOBALIZATION GLOBALIZATION IS A...

88 PERCENT

of people recognize McDonald’s golden arches, compared to only 54% who recognize the Christian Cross (SRi).

0.1 percent

of the world’s firms are multinationals and collectively generate more than 50 percent of the world’s trade (Deloitte).

50 PERCENT

of the 6,500 languages currently spoken will become extinct by 2100 (BBC). 16

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Respondents in 19 countries, n = 20,000 (YouGov)

...FORCE FOR GOOD Vietnam Phillipines India

91% 85% 83%

...FORCE FOR BAD France US Great Britain YES

37% 27% 19% NO

DON’T KNOW

CONVERSATION STARTERS

PANDEMICS

5 PERCENT GLOBAL INTERNET PHENOMENA

SIX DEGREES OF KEVIN BACON In the aftermath of globalization, the ‘Six Degrees of Separation’ theory posits that any two people on Earth are at most six acquaintances apart. ‘Six Degrees of Kevin Bacon is a parlor game based on this theory, where players have to find the shortest path between a random actor and Kevin Bacon.

of global gross domestic product would be lost if a pandemic of the same severity as the 1918 influenza pandemic were to occur (WHO).

7 PERCENT

of an increase in R&D investment on neglected diseases was recorded between 2016 and 2017, representing a 10-year high (WHO).

US$1 to $2

would have to be spent per person per year to reach an acceptable level of pandemic preparedness (WHO).

UP TO 579,000

people lost their lives to the H1N1 virus infection in the first year that the virus circulated (CDC).

7 PERCENT

of all countries scored in the highest tier (top 33%) for their ability to prevent the emergence and release of pathogens in 2019 (GHS).

CROSS-BORDER PAYMENTS

5.6 PERCENT

of an increase is expected in the overall value of cross-border payments per year, driven both by retail (C2C, C2B, B2C) and corporate payments (Accenture).

ATTITUDES TOWARD CROSS-BORDER PAYMENTS (APAC) Respondents in 7 countries, n = 7000 (PayPal)

I would not feel comfortable making purchases on a foreign website that is not in my own language. I prefer large ‘global’ stores (e.g. Amazon or eBay) when purchasing from another country.

30 PERCENT

It is not important to me if the online retailer is based overseas or not.

of digital commerce volume in 2017 came from mobile apps instead of desktop and mobile web browsers (McKinsey).

I trust online stores from other countries as much as stores from the country I live in.

3 out of 4

people would prefer to have an option to pay in local currency when shopping online, while 6 in 10 check conversion rates before paying (PayPal).

10% January 2020

50% Jumpstart Magazine

90% 17

FEATURES STARTUP TOOLKIT

An Introduction to EarlyStage Fundraising

• • • •

By WING LEE

undraising is vital for startup growth. The landscape is saturated and competitive, so founders need to understand and nail every step of the process. We discuss four areas to guide you to success.

The ecosystem nderstanding who you are talking to is essential because you want to explore avenues of investment that fit your startup’s profile. The three primary types of investors are:

1. Government: Funding from the public sector typically comes in the form of grants, facilities, and subsidies. They will require the startup to fit eligibility criteria, which align with their agenda to promote innovation in the country. 2. Incubation and acceleration programs: They provide early-stage startups with business support and mentorship. The programs are usually region-specific or sector-focused, where startups are incubated in cohorts. 3. Angel investors, family funds, and venture capitalists (VCs): These investors can offer a wealth of collaboration and mentorship opportunities. They have different investment theses and usually operate in specific sectors.

Step two is identifying the right type of investor: • • •

hen your startup is at an early stage, it’s not always clear when you should begin reaching out to investors and which investor-type is most suitable. Step one is determining your valuation. Here are some general rules of thumb:

Government support schemes are usually appropriate for very early-stage startups with a viable business plan. Incubation programs target those with a prototype and a strong and committed team. Angel investors, family funds, and VCs look for a customer base, user transaction, and strategic partnerships.

Investor considerations nvestors evaluate many factors when assessing a potential portfolio company. One common concern is the likelihood of an exit further down the line, whether it’s through a strategic buyer, later-stage VC, private equity acquisition, or initial public offering. An investor’s aim is financial return, so their primary considerations are:

I • • •

Valuation

Viable business plan for a scalable idea in an attractive market: US$250,000 to $500,000 The above plus a prototype and a strong committed team: $500,000 to $2.5 million The above plus strategic alliances, partnerships, and a customer base: $2.5 million to $5 million The above plus measurable user traction and a clear path to profitability: $5 million+

Market size: Is the addressable market large enough? Capital expenditure, operating expenditure, and cash-burn rate: Is the startup growing sustainably and earning revenue? Scalability: Is the speed and ease of growth healthy? Defensibility: Does the startup offer a unique product proposition? Does the management team possess sufficient market knowledge, and balanced skill sets and personalities?

Due diligence egardless of the type of investor you work with, you will have to go through due diligence. While the process varies, it generally follows this structure:

R •

•

Screening: When you first connect with investors, they will look at high-level information, such as whether your business fits the fund’s mandate, if they have chemistry with the founders, and where the deal was sourced (i.e., through a referral or an application). Business due diligence: This step forms the basis of decision-making for investors. They will look at factors mentioned in the previous section, such as the team, market size, business model, etc. Legal and financial due diligence: When the investor is comfortable with the previous steps, they will then look at verifying financial records, key employee and client contracts, regulatory and legal checks, and getting an expert’s opinion on the market and technology.

undraising is a continuous process. It’s crucial to align your presentation with the investor’s point-of-view and investment thesis. It should never be about the capital itself, but how you can use it to scale your startup into a business with value. Wing is an entrepreneur and investor who invests in startups across the education and technology sectors.

F 18

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Using Customer Personas Effectively By DAVE MALHOTRA

arketers frequently tout the many benefits of creating personas, as they enable companies to divide a customer base into targeted segments. But what exactly are they, when should they be used, and how can some common pitfalls be avoided? A customer persona is a fictional character that represents your perfect customer, or someone who can obtain the most value from your product or service. Brands and companies want a clear picture of who exactly has the desire and decision-making power to be the right customer. Personas connect the brand’s propositions to customers’ pain points in a way customers can relate to, helping the company to develop strategies for digital campaigns, product design, and support. The ability to customize your products and services to each customer requires effort, but it allows you to adapt everything from user-flows to campaigns.

The risk ust like most marketing strategies, it is possible to do too much segmentation. It’s more about coming up with the right personas, not making the most detailed. It seems counterintuitive, but having too many customer personas can dilute your messaging. You run the risk of losing focus of your main sales strategy, making it difficult for your sales team to create a consistent pitch.

The rewards ith fewer but carefully researched personas, one can focus on the aspects of personalization that matter to end-users. Potential customers appreciate messaging that speaks directly to their unique needs. Personas don’t just enable better alignment with customers from the beginning of their journey. They also help to unify a brand or company on precisely who they are selling to, how those end-users think before making a purchase decision, and how the brand adds value to their life.

How to get started n most cases, the first step should be internal interviews with the people who spend the most time with your customers. After that, the brand should interview the customers themselves. Using the data gathered from internal and customer interviews (qualitative data) and the data from web tools and published research (quantitative data), a brand can begin to create personas. Here are a few things that should be included in every good customer persona:

• •

Descriptive names like ‘Tech-savvy Tom’ and ‘Practical Peter,’ so you can easily reference your persona when you develop the product or campaign Demographic data and details about their lives, the problems

• •

they encounter, purchasing behavior, and any other information that shapes customer narratives An image to visualize the persona Easily identifiable traits to help the brand craft and use the most appropriate messages when they encounter a potential customer

Ultimately, useful customer personas are based on different sets of information, mined from what a brand already knows, and what it can find out through interviewing real-life customers and stakeholders. They should also be fleshed out with demographic, psychographic, technographic, transactional, and behavioral data.

Test, confirm, adapt uccessful brands should conduct A/B tests for their marketing efforts. This process involves sending different messages to similar audience groups to evaluate the effectiveness of each message. This ‘test, confirm, adapt’ strategy can identify potential flaws in content and help optimize conversion rates. As long as a brand is testing their messaging, confirming their hypotheses, and adapting their solutions, getting successful personas working for any brand or company is just a matter of time. How much time–as is the case often in life–is totally up to them. Dave is the CEO of white-labeled ticketing platform SoldOutt.

January 2020

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Installing a Customer Feedback System on Your Website + A Bonus Step-By-Step Guide By REGGIE ADDAE

hen it comes to optimization, one of the most important practices that all marketers need to undertake is gathering actionable insights. Feedback is crucial because it allows you to identify sources of friction that stop customers from taking an action. It can be categorized into two types: 1. Customer surveys: They are used to solicit feedback from users who have already converted or taken the action you want them to take. The issue with these surveys is that since the information is collected after the event, the customer may not necessarily remember how they felt at the time. 2. Web surveys: They collect feedback from users while they are using your site. They are usually pop-up boxes 22

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that appear after a trigger (e.g., after a certain amount of time has been spent on a particular page, scroll depth, number of pages viewed, landing on specific pages, etc.). Web surveys can be used to understand why people are not taking a particular action. So how can you implement a web survey to identify your friction points and boost your conversion rates?

Step 1: Who ake sure the people you are surveying would actually take the action you want them to take. Look at your metrics and note the common traits of people who took the given action, and try to target similar individuals–maybe they visited

a specific number of pages, or stayed on your site for a set amount of time. For instance, you could target individuals who added items to their cart, but didn’t buy. These individuals showed intent by adding a product to their cart. With an average abandon-cart rate of 69.89% (Baymard Institute), finding out why and fixing it would do wonders for your conversion rates.

Step 2: Where ow you know who, you have to ask them at the right time. Don’t ask a user why they haven’t taken an action when they have just landed on your site. A better time might be the last stage of your conversion funnel, or when they are about to leave your site (exit intent). A

STARTUP TOOLKIT FEATURES

browser determines exit intent by tracking the movements of your mouse and is triggered when you move your mouse cursor outside of the upper page boundary.

Step 3: What ou’ve established the who and where, so what do you ask? There is no best question to ask, as it differs depending on your objective. As a rule of thumb, try and understand two things about the potential customer:

1. Why did they come to your site? Does your website match their needs? If not, are you attracting the wrong audience? 2. What are the friction points that are preventing them from taking the action you want them to take? Here are some sample questions to ask: • •

•

Why are you here today? (Identify intent) Were you able to find the information you were looking for? (Identify whether there is any missing information on the site) What made you not complete [action] today? (Identify sources of friction)

You will have to experiment with these questions to see what works. The one question a lot of marketers use that works regardless of the audience is: Do you have any questions you haven’t been able to find answers to? (Y/N) After they have answered ‘yes’ or ‘no,’ ask for an explanation. This structure works because it’s easy to answer a yes or no question. Once you have responded to it, a psychological trigger called ‘commitment’ compels you to complete what you started, and answer the question. Another good question, especially for ecommerce stores, is: Is there anything holding you back from making a purchase today? It’s important to find the wording that works for you.

Step 4: How here are multiple ways to implement a survey. HotJar [hotjar.com] has a free version you can use, and it’s quick and easy to set up. Of course, there are plenty of other tools like Qualaroo [qualaroo.com] and Webengage [webengage.com] that also get the job done. Reggie is Jumpstart’s Director of Marketing and Special Programs.

H ow to s e t u p a s u rve y on H otj a r 1. Go to ‘Polls’ under the ‘Feedback’ heading on the side dashboard. 2. Click ‘+ New Poll.’ 3. Enter the name of your poll. 4. Your ‘Question 1’ is the one with a yes or no answer. Click on the dialog box next to the ‘Yes’ so the user can enter the text if they select ‘Yes.’ 5. The second question asks them if they would like a response to their question or comment. ‘Yes’ prompts the user to leave their email address. ‘No’ will close the dialog box. 6. Configure how you want the pop-up to look. 7. Set up the targeting (i.e., desktop, tablets, or phones), the specific pages you want this to appear, and to which users. 8. Dictate the behavior of the poll. When do you want it to show up, and how often will visitors see it? 9. Once done, set to ‘Active’ and launch. There you have it: your very own feedback loop.

January 2020

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FEATURES ECOSYSTEMS

7 Essential Metrics for Ecommerce Startups By REGGIE ADDAE

he one thing all successful ecommerce stores have in common is that data guides almost every business decision. After all, if you can’t measure something, then there’s no way to know how to improve it. For a new ecommerce store, it’s essential to track all activity. But with so many metrics at our disposal, it’s easy to succumb to ‘analysis paralysis.’ We end up looking at so much data that there’s no way to walk away with actionable insights. We outline how ecommerce startups can get started with seven vital metrics.

2. Return on advertising spend (ROAS) ROAS = Revenue ÷ Campaign cost Your ROAS will tell you which ad campaigns are working, and allow you to determine the return on every marketing dollar spent. You can then identify which of your ongoing campaigns have the highest return. It’s particularly useful if you have extra budget, or want to reallocate your budget more efficiently.

3. Bounce rate Bounce rate = No. of visitors who leave immediately ÷ No. of visitors overall

1. Cost per acquisition (CPA)

The bounce rate is the percentage of visitors to a page who leave before taking any action. This metric is a good option for new stores that may not have enough data to calculate CPA and ROAS. It’s a good indicator of the accuracy of marketing targeting.

CPA = Campaign cost ÷ No. of acquisitions

4. Checkout abandonment rate

CPA is the cost it takes to acquire a form of engagement–be it a customer, lead, click, or like. This number helps to pinpoint which campaigns need optimizing, and which to do away with completely. For example, you’ll know to stop using Google ads if the CPA is higher than the CPA for Facebook ads.

Checkout abandonment rate = Percentage of online shoppers who add items to their shopping cart and do not purchase ÷ Percentage of online shoppers who add items to their shopping cart This metric can tell you what percentage of people come to your page ready to buy your product–and then don’t. It is a measure of friction in the checkout process. If this rate is high, you need to consider where the leaks might be in the process, and how to reduce them.

5. Conversion rate Conversion rate = No. of transactions ÷ No. of page visits Your conversion rate is the percentage of visitors to your site who make a purchase. Using this metric, you can predict sales and identify traffic sources that are over-delivering and scale them up.

6. Opt-in conversion rate Opt-in conversion rate = No. of opt-in conversions ÷ No. of page visits Most visitors to your site will not convert the first time they visit. However, you can continue to market to them–hopefully bringing them back to complete the purchase–by securing their email address, which constitutes an opt-in conversion. Nurturing these opt-in conversions should be a secondary goal of your marketing plan. After a few months, you should be able to put a monetary value to each mailing list subscriber by dividing your total revenue by your average number of subscribers.

7. Product revenue This metric is a way of keeping track of the amount of revenue generated by each product in your store. It allows you to identify what your hot products are, which you can then prominently feature in your store and social channels. Reggie is Jumpstart’s Director of Marketing and Special Programs. 24

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January 2020

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Ensuring Quality Control with Chinese Suppliers By YOURI VAN ELSLAND

or any ecommerce business, manufacturing or sourcing products from an overseas entity can have profoundly beneficial effects on your margins. The problem, however, is ensuring the quality of the items you’re receiving. There are so many ecommerce websites and businesses out there that you have to work hard to differentiate your project from the competition. If you cannot ensure consistency and great products every single time, chances are, your customers will likely start looking for solutions elsewhere. The popular and easy choice is to manufacture in China, and for good reason, as there are many benefits–cost being one of them. But Chinese manufacturers and wholesalers often have problems with consistent and continuous maintenance of production quality. These problems are even more time-consuming and frustrating when you are on another continent. Quality control is difficult from a distance, but there are things you can do to ensure proper production characteristics and stable partnerships with the right manufacturers and wholesale suppliers.

with people from another country. Language barriers will always come between you, even in the era of Google Translate. Make your product inquiry unambiguous, but simple. You should also make yourself available for follow-up communication should certain aspects of your product requests be unclear.

Request a sample

sking for a sample or a prototype is the next important step in supplier quality control. If the product already exists and no customization is required, you can purchase one unit and verify its quality before even contacting the manufacturer. However, this option isn’t always viable or financially sound. Chinese manufacturers are accustomed to sample requests. It’s a normal part of the process, and most will be willing to work with you. Several kinds of samples exist and can be requested: •

Give your supplier as much information as possible

o get what you need from suppliers, you have to be exceptionally precise and descriptive in your communications with them. Be sure to include the following information: • • • • • • •

A brief overview of who you are and what you’re trying to accomplish Who the product is for The problem that the user faces, which the product can resolve What the most important product features are Material requirements for the product Customization requirements to modify a generic product Your need for the product to be tested before it arrives

Remember that you’re communicating 26

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•

Factory samples for ready-made products. These can be subdivided into: * Material samples (quality, color, and texture of materials used in production) * Standardized parts * Samples manufactured for other companies Custom-made product samples created

• •

especially for you Batch samples: several items from the same batch to test for consistency and functionality Digital samples: 3D models, renderings, graphs, sketches, and diagrams

Be very precise in terms of the type of sample you want, and make sure that you’ve discussed the following aspects of the sample request: • • • •

The deadline for having the sample shipped The mailing address for the sample Whether you need a model and company number tag (to differentiate between the samples you receive) Indicate whether you need a functional sample for testing or just a product prototype

It would be best to send this information by email and have a quick video chat soon after to confirm the details. A live conversation with a potential supplier is also an excellent opportunity to get a feel for their work ethic and communication style.

Communicate any product issues in detail

ven if you’re extremely specific, there’s still some risk of the interaction going wrong. Whenever products don’t meet your specifications or are defective, you will have to communicate that information to your suppliers. The easiest thing to do is to take a picture of the item and describe exactly what’s wrong with it and why the quality isn’t exactly what you’re looking for. It’s imperative to communicate that

TRENDS FEATURES

information immediately after receiving a sample. If you order a larger batch and all of the items come with the same issue, it’s much harder to contain the problem without suffering losses.

Ensuring consistent product quality

he fact that a sample meets all of your specifications does not mean that all future batches will be treated with the same care. Ecommerce success often depends on every single piece meeting a consistent quality standard. There are several ways to accomplish this task when working with Chinese suppliers. Alibaba has several useful tools in place to facilitate supplier quality control. When using Alibaba to choose suppliers, opt for those with trade assurance. This service gives buyers payment protection if the items aren’t shipped according to contract specifications, or if they do not meet quality requirements. It’s also recommended to choose secure payment suppliers. Through this service, Alibaba holds the payment to the supplier while the shipment is being processed and delivered. Once both the supplier and the recipient confirm that the transaction is complete, the payment will be released. A final option you may want to consider is engaging a sourcing agent. This person is a regional representative who deals with important activities on your behalf, eliminating the need for you to travel overseas. Provided this person is reliable and reputable, you’ll have peace of mind that your requirements are being adhered to during the manufacturing or sourcing processes. Benefiting from a sourcing agent will be linked to additional expenses, making this a choice for entrepreneurs who are serious about growing an ecommerce business. The good news is that many entities offer such services. Get a couple of quotes and inquire about the fee structure. Sourcing agents may charge in different ways, so it’s essential to find out whether hidden commissions or surcharges exist. Remember that the relationship between you and your supplier is mutually beneficial. It’s in the best interest of manufacturers to meet your requirements. As long as you communicate your needs and set up checks and balances against quality issues, you will soon establish partnerships with entities that understand your business and your work ethic. Youri is Jumpstart’s Business Strategy Associate.

January 2020

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STARTUP TOOLKIT FEATURES

Getting Started with 3D Printing

Machine and software very printer has a unique corresponding software which usually comes with the purchase. Some good 3D printer brands include Makerbot, Ultimaker, and XYZprinting da Vinci Mini.

Printer settings

By FRANÇOIS HURTAUD

any believe 3D printing is extremely technical, but this is not necessarily the case. After the initial setup, the software can be left alone to do the job. It just needs a little instruction on the right process, materials, and printer settings. Step one is straightforward. Whether you are an industrial designer who needs to print a small prototype, or a hobbyist printing the latest Dragon Ball Z action figure, you need to have a clear idea of what you want to print before you can get started. Once that’s established, then it’s time to dive into designing.

Design here are two ways to go about design. One option for novice designers is to use open-source 3D template libraries like Thingiverse, MyMiniFactory, and CGTrader, which have pre-designed models for anyone’s use. Alternatively, you can create a design from scratch using software like Solidworks, Pro/Engineer (now Creo), and Cinema 4D. Any software that has 3D Computer-Aided Design (CAD) capabilities and can export stereolithography (STL) files can be used. STL is the most common file type. However, note that STL files only tell the printer the shape of the model. There is no color, material, or texture information included in this file.

Material here are two materials that suit most 3D printing purposes. The first is Acrylonitrile Butadiene Styrene (ABS), which is a hard, durable, and heat-resistant plastic. It’s industrial-grade and so strong that it can be used to replace machine parts. The other is Polylactic Acid (PLA), which is essentially a plastic made from potatoes. It’s recyclable and can be reused over and over for different projects, making it an excellent choice for prototyping.

enerally, it is best to stick with the printer defaults, but knowing what the settings mean can come in handy. The two most important ones are ‘Ink Fill Density’ and ‘Layer Height.’

G •

•

Ink Fill Density: This determines how solid or hollow your print will be. Setting it at 100% makes it completely solid, which is a waste of filament. For any percentage above zero, the printer will automatically generate a pattern to provide structural support for the object. Layer Height: This determines how thick the layers of your print are. The lower the number, the finer the print. However, note that this also increases the print time.

Printing instructions fter importing your STL design file into the printer software, you need to convert it into a series of step-by-step instructions for your printer to follow. These instructions depend on the print quality you want. If the dimensions of your design are larger than the printer plate, the software will ask you if you want to rescale the model, and automatically adjust the design to fit. Once that process is complete, export your file, save it onto an SD card, and plug the card into the printer. Select ‘Build from SD’ to initiate printing. Make sure you have followed these steps before printing:

1. Prepare your print bed by making sure it is level and, if needed, add a bed adhesive to ensure you get a good first layer. 2. Load the ink of your preference into the printer and follow the printer’s instructions for this step. 3. Insert the SD card with your exported design. 4. Watch the first few layers of printing. If all seems well, walk away and come back later to see the finished version. Welcome to 3D printing. François is an international award-winning industrial designer. January 2020

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4 Steps to Jumpstart Your Job Search in 2020 By SHO DEWAN

nhappy with your current job? You’re not alone. According to a Gallup poll, 63% of surveyed individuals [230,000 full-time and parttime workers in 142 countries] are “not engaged” by their jobs. With almost onethird of our lives spent at work, we deserve to be in roles that make us happy and fulfill us. If you’ve put your job search on hold the last few months to enjoy the holidays, now is the perfect time to ramp things up. Here are four steps to jumpstart your job search in the new year.

Determine the key changes you’re seeking for your career efore updating your CV and mass applying to open roles on LinkedIn, take some time to evaluate the pros and cons of your current work situation. What is it exactly that you’re missing in this role that you’d like in your next role? Write these points out and make a list of the 10 most important factors for you in your career. Is it a more supportive manager you are after? Maybe the opportunity to manage a team or be able to work from home on Fridays? Regardless of what is on your list, you need to be crystal clear on what it is you want. Only then should you begin to search for your ideal role.

List out your dream companies and ideal roles

fter writing out your non-negotiable factors, now figure out which companies and roles would be able to satisfy most (if not all) of those items on your list. Create a spreadsheet and list out your top 10 companies, the roles you’re seeking, application dates, and other important information to keep track of your progress. Instead of aimlessly applying for one role after another, it’s important to be more strategic and thoughtful with your job search.

Update your CV and LinkedIn profile with a compelling summary 30

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fter completing the first two steps, next it’s time to update and optimize your CV and LinkedIn profile. Keep in mind that recruiters will spend six seconds or less reviewing your CV, so you need to make sure to catch their attention from the start. One of the best ways to do so is to include a compelling summary at the top of your CV. Write out three to five sentences that best highlight your unique experiences and transferable skills. It is critical to show you are the ideal candidate, so limit generic statements; instead, use specific details that recruiters will not be able to ignore. This summary serves as your pitch for a face-to-face interview. I recommend that all my clients store multiple versions of their CV, where each one is tailored for a different role and com-

WorkHap is a career development and leadership training company in Hong Kong. Photo courtesy of WorkHap.

pany. Taking the time to craft a customized summary will dramatically increase your chances of scoring that first-round interview.

Get networking ultivating relationships is often the secret ingredient for landing your dream role. Don’t rely on headhunters or applicant tracking systems to make relationships for you. It’s essential to get out there and meet people yourself. In addition to checking out career fairs and networking events around town, you should also utilize LinkedIn and reach out to professionals in roles and companies that interest you. Initiating informal coffee chats and phone calls are great ways to put a face to a name and show that you are more proactive than the average candidate. Be prepared with genuine questions, learn as much as you can about the company and the role, and don’t forget about the follow-up ‘thank you’ email.

t’s a new year and it’s time for you to land that dream role by getting started on the right foot. May 2020 be the best year yet for you and your career. Sho is the founder of WorkHap.

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More Than A Simple Space The secret sauce behind WorkTech’s phenomenal growth By NAYANTARA BHAT

fter being plagued by problems of scandal, overvaluation, and overplayed marketing tactics, it now seems like too much trouble to get into the co-working industry. However, Hong Kong-based co-working operator WorkTech has taken advantage of the sudden silence in this space, and risen up almost overnight to capture the excess demand. While WorkTech doesn’t position itself exclusively as a co-working space, it certainly has enough square footage to go around. With 20 spaces around the Asia-Pacific region (16 of which are in Hong Kong), the company is among the largest operators in the region. Despite this rapid expansion in the number of locations, WorkTech’s real mission is to provide a soft landing spot for startups entering Southeast Asia. Offering services like company secretary, banking, legal advisory, and more, WorkTech’s experienced team of professionals (who hail from several industries and walks of life) help to set members up with startup essentials. They also make use of a network of strategic partnerships, chosen for how they Left: A WorkTech location in Hong Kong. Right: A WorkTech location in Taipei. Photos courtesy of WorkTech.

might benefit startups in a certain sector. For instance, the Taipei space is customized for blockchain and cryptocurrency startups. WorkTech can help founders register their businesses through a government partnership, as well as set up a bank account with their banking partner. Ordinarily, this process would take months and be much more difficult–after all, many still struggle to understand the business models behind blockchain and crypto startups. But having the necessary institutions on board with WorkTech’s ethos has made it much easier for startups in this space to focus on building their solutions. “A significant portion of our members are startups or technology companies, and one of the most important elements we advocate is to provide opportunities for them to do rapid proof-of-concept (POC),” says WorkTech Chairman and Founder Michael Wong. “This is done through technology adoption initiatives with our strategic partners, including financial institutions, professional firms, and large corporations that are looking for ways to innovate and transform digitally.” Localization has proven to be a particularly successful strategy for WorkTech,

and part of the appeal that’s drawing in local strategic partners. Through a series of well-planned acquisitions and working with people who understand patterns in local demand, WorkTech has been able to selectively funnel resources into areas of the ecosystem that are in need. While the priority is to create a space that suits the needs of members and eases the entry of new firms into the market, WorkTech has the same need for a sustainable business model as any company, and to that end has also set up an investment arm, as well as joint ventures with influential partners. Its partnership with Raffles Family Office launched in late 2019, and aims to create a space for a network of asset and wealth managers across the region. WorkTech’s focus lies in developing comprehensive end-to-end ecosystems for all its members, which includes making beneficial introductions between members and allowing them to work out of any location in the region. The company is also geared towards emerging industries, such as blockchain and esports, and aims to build up the right resources to give startups in these spaces a head start. “In the future, WorkTech will further expand in the Asia-Pacific region and is planning to set up new offices in Cambodia, Malaysia, Japan, Philippines, Thailand, and Vietnam,” says Wong. With an ambitious expansion plan and a growing network of partners, WorkTech has set itself up to dominate the Asia-Pacific co-working market and become a first-resource for startups in the region. Nayantara is Jumpstart’s Editorial Associate. January 2020

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January 2020

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A New Decade for Japanese Startups The Bridge Co-founder Masaru Ikeda discusses Japan’s startup opportunities and its growing unicorn population By MASARU IKEDA

primarily write about startups in Japan and the rest of the world for my Japanese audience, but I occasionally do so in English to encourage interest and share what’s going on in the Japanese startup landscape. Based in Tokyo, I spend almost onethird of the year somewhere outside Japan to meet up with great entrepreneurs and speak onstage at major global startup conferences. When participating in such opportunities, I’m often asked about the latest startup trends on my home turf. For those people, the articles I write on a daily basis are too detailed to gain a broad understanding. Leveraging this

year-beginning opportunity, I decided to summarize the status quo of the Japanese startup scene with the global audience, with a focus on what happened in 2019 and what we can expect in 2020.

87 startup IPOs and SaaS successes

n 2019, software-as-a-service (SaaS) startups accounted for 20% of the 87 IPOs. The strength of SaaS startups in Japan is a result of unique characteristics that make them easy for companies to adopt. Japanese companies can subscribe to these services without any top-down

decision-making, unlike when introducing package software or on-premise systems. When we look at who joined the unicorn club this year in Japan, TBM (developing new limestone-based material as an alternative to paper and plastic) and Clean Planet (introducing practical applications of new hydrogen energy using condensed-matter nuclear reactions) are especially notable, among other deep tech-focused startups. The sustainability sector has seen considerable growth–unsurprising, as plastic pollution in our oceans and global warming are issues that are being treated with increasing urgency. The market is offering a significant amount of funds to this vertical, despite the fact that the payback period for investors is relatively longer.

The next unicorns and IPOs: Subscription-based and PaaS startups

any developed countries are facing the impending crisis of an aging society and a declining working-age population. Nowhere is this more evident than in Japan; one-third of

January 2020

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More than a few growthstage startups in Japan have been forced to devote their resources to investor relations, and pursue an IPO long before they become a unicorn in terms of valuation.

Japan’s total population is expected to be 65 or older by 2030. Our economy needs to improve work efficiency immediately, and robotics and AI startups are likely to respond to this change in full force, helping businesses automate their work by leveraging digital technologies. Partially owing to this demographic shift, a Japanese startup called AnyFlow won pitch awards at many startup conferences this year. The platform-as-a-service (PaaS) company helps businesses integrate and connect different SaaS platforms. For instance, when new employees join a company, the service would allow the HR team to create their email address and a Dropbox or a Slack account with just a few clicks. While there are several competing services, AnyFlow is on track to gain market share in Japan. Another interesting trend is the hype around customized and subscription-based ecommerce. The adoption of a subscription model enables startups to secure their sales base and predict future growth. Also, recent technological advances and automation have enabled small-lot and niche-item production systems, so influencers and key opinion leaders (KOLs) can now produce and sell their own branded products. Popular items that benefit from the concept include cosmetics, supplements, shampoos and soaps, and clothes and underwear. Thanks to factories with such production lines, influencers and KOLs don’t need to invest as much or take on as much inventory risk before starting their business. 34

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VC funds get bigger, helping local startups grow in private

hen a Japanese startup is in its mid- to later-stage and needs to raise more than eight-digit figures (in U.S. Dollars), it’s a common practice for them to list on the ‘Mothers’ section of the Tokyo Stock Exchange, which is reserved for high-growth and emerging stocks. For U.S.-based startups, it’s possible to raise massive amounts of VC funding as a later-stage company. Japanese startups struggle to raise as much venture capital because local funds are relatively small. Due to this characteristic, more than a few growth-stage startups have been forced to devote their resources to investor relations, and pursue an IPO long

before they become a unicorn in terms of valuation. However, many firms have announced the launch of more considerable funds since early last year, and the challenges faced by growth-stage startups are slowly being alleviated. DNX Ventures is expected to close its third fund with an oversubscription of its initial target of about US$275 million. Globis Capital Ventures and Global Brain recently combined their funds, which are worth $345 million and $183 million, respectively. ANRI, an emerging VC firm that has recently facilitated several exits for their portfolio companies, is reportedly raising a new $183 million fund. One of the critical reasons why Japanese VC funds are scaling up is because institutional investors–represented by pension funds from overseas–are happy with what they’re seeing in the Japanese startup scene and willing to pour more money into it. In the past, Japanese VCs mainly raised money from national conglomerates. These companies are now setting up corporate venture arms to accelerate collaboration with startups in exchange for investment opportunities. Such changes signal the growing maturity of our startup ecosystem, and many more changes to the landscape to come.

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January 2020

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Streaming All the Way The Streaming War has begun, and entertainment giants are going all out By JASMINE CHAN

espite much anticipation, Disney+ launched shakily on November 12, 2019. Ten million subscribers either couldn’t log in or couldn’t stream content due to server issues. While Disney+ experienced a significant hiccup, Apple TV+ was quietly testing the waters with a small number of original productions after launching on November 1, 2019. These two eagerly-awaited streaming services are just the beginning, as Comcast’s Peacock and HBO Max, owned by WarnerMedia, will be joining the race in mid-2020. The world has its eyes on the imminent ‘Streaming War.’ The battle comes down to each party’s ability to manipulate market trends, as how these entertainment giants manage their content production and pricing strategy will determine who wins over the viewers.

Be exclusive and original

ong before the Streaming War, media giants were working to take back their studio productions from Netflix. The breaking of Disney’s US$150 million streaming rights contract with Netflix in 2017 revealed the entertainment conglomerate’s intent to break into the market. By 2020, HBO Max will gain the exclusive streaming rights to fan favorites, including Friends, Pretty Little Liars, and The Big Bang Theory. Following in Disney and HBO’s footsteps, NBC’s hit workplace sitcom, The Office, will be removed from Netflix in 2021–a signal that we will soon have another contender in the mix. The battle for exclusive content is a move to bait new subscribers and shrink the content library of the industry’s most formidable opponent: Netflix. Netflix has been well aware of this strategy for some time. Since releasing its first original series, House of Cards, in 2013, Netflix has made a name for itself in producing a wide range of successful original films, television series, and reality 36

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shows, including Stranger Things, Orange Is the New Black, and 13 Reasons Why. At the Recode 2019 Code Conference, Netflix Original Content Vice President Cindy Holland said, “The more successful we were at building an on-demand subscriber base with content, the more likely they were going to stop licensing to us. It’s actually one of the reasons why we started original content in the first place because we believe the shift will happen.” Netflix announced in October 2019 that it would raise $2 billion, given the company was $12.43 billion in debt as of September 2019 (Reuters). With more and more studio productions being removed from its platform, Netflix needs another giant check to film more Originals.

The Streaming War doesn’t only involve a content battle, but also the cutthroat competition of product bundling.

Reclaiming exclusive productions is not enough to seriously threaten Netflix. New streaming platforms must also continuously generate new, hit content to maintain a steady flow of subscriptions. As a recent arrival in the entertainment space, Apple doesn’t own any well-known television series or movies. Apple TV+ launched with nine original shows, including the extensively-marketed The Morning Show starring Jennifer Aniston, Reese Witherspoon, and Steve Carell; See starring Jason Momoa; and Oprah’s Book Club with the one and only, Oprah Winfrey. According to Financial Times, Apple spent $6 billion on its new shows; The Morning Show alone cost $300 million for two seasons. Without any exclusive streaming rights, Apple is investing in high production value and stellar A-list casts to

compensate for a meager library. Well-established studios are taking a different approach, producing sequels and spinoffs for their most popular characters. Disney+ is at a considerable advantage, with an arsenal of beloved franchises at its disposal, as it also owns Pixar, Marvel, and Lucasfilm. The company has already announced a reboot of Lizzie McGuire, and Marvel television shows Falcon and the Winter Soldier, WandaVision, and

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Hawkeye. Business Insider reported that Marvel shows cost around $25 million per episode. The recently-released Star Wars series, The Mandalorian–reportedly costing $15 million per episode–is already winning with audiences and critics alike with a score of 93% on Rotten Tomatoes (Business Insider). Disney and Apple are not the only ones pouring cash into original content. WarnerMedia’s HBO Max, apart from pro-

viding access to the Warner Bros., HBO, and Cinemax content libraries, will release a Game of Thrones prequel, House of the Dragon, in 2020. A single Game of Thrones episode cost $10 million to produce, so one can only assume that its prequel will boast an equally, if not more shocking production budget (SCMP). New streaming entrants value content quality over cost, investing billions into exclusive streaming rights and pro-

ductions. Consumers, however, are torn. According to Deloitte’s ‘Digital media trends survey, 13th edition,’ 47% of U.S. consumers are “frustrated by the growing number of subscriptions and services they need to piece together to watch what they want,” and 57% of consumers are upset that their streaming platforms are losing rights to their favorite shows and movies. Streaming services used to be a convenient and affordable option. But having January 2020

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Given the dynamic nature of the industry, which is still in its early days relative to its cable television predecessor, new strategies will be introduced by providers to turn the tide in their favor, however slightly. countless choices is no longer a blessing, as the content tug-of-war is forcing consumers to subscribe and spend more. Those who are price-conscious or still want access to specific content may turn to piracy–a red flag for the industry. PCMag found in a survey from November 2019 that 75% of participants are not planning to subscribe to any upcoming streaming services, hinting at the possibility of using alternative means to obtain content. Although the diversity of content available in the market is increasing dramatically, it has become clear that consumers are not wholly happy.

Bundling a profit

he Streaming War doesn’t only involve a content battle, but also the cutthroat competition of prod-

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uct bundling. Streaming defines Netflix’s business model, but its competitors generate revenue from diverse streams, such as theme parks, merchandise, the box office, and tech products, which is why Disney, Apple, and HBO can afford to offer bundle deals. Their immediate aim is to obtain a loyal subscriber base, and they are willing to forgo short-term revenue to achieve it. Despite having to offer a discount, these

companies will earn a higher combined profit due to the increased sales of each individual product. Similar to what Amazon has done in bundling its streaming service with Amazon Prime subscriptions, Apple TV+, which costs $4.99 a month, is free for one year to customers who purchase an Apple product–be it an iPhone or Macbook. Bloomberg reported that Apple is also considering bundling its paid news app Apple

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News+ and Apple Music with Apple TV+ in the near future. At $6.99 per month, Disney+ offers a package bundle with ESPN Plus and Hulu for $12.99 a month, as it owns a majority stake in the two platforms, thus providing three streaming services in one. Its aggressive pricing is a declaration of war to Netflix, as Netflix’s standard plan also costs $12.99 per month. Pre-installed access is a great gateway to consumers who care less about home entertainment. HBO Max, which costs $14.99 per month, will be free for current customers of AT&T’s premium video, mobile, and broadband packages. Flixed, an online publication covering streaming news, surveyed over 1,000 streaming subscribers and found that price, video quality, and pricing model are the main factors they consider when evaluating a service. Product bundling is satisfying for users who stress about their subscriptions not being worth the cost, making the practice a win-win.

It’ll be tough to predict the winner–if there will even be one at all–but viewers will undeniably be inundated with choices.

Netflix’s throne

ith Disney+, Apple TV+, and HBO Max coming in strong, many doubt whether Netflix will be able to maintain its position for long. Netflix, Hulu, and Amazon Prime currently lead the industry. With 160 million global subscribers, Netflix has the biggest slice of the pie, followed by Amazon at 105 million and Hulu at 28 million (Bloomberg). The 2019 ‘CNBC All-American Economic Survey’ found that 57% of Americans subscribe to streaming services–51% of whom are Netflix customers. Founded in 1997, the company is confident about maintaining its leadership position. In its 2019 third-quarter earnings letter to shareholders, Netflix stated that “the launch of these new services will be noisy,” but the strength of its service and large market opportunity will guide its growth. Newcomers are setting different sub-

scription targets in their early stages. WarnerMedia CEO John Stankey is hoping to hit 50 million HBO Max subscribers in the U.S by 2025. Barclays expects Apple will reach around 100 million subscribers in a year due to its bundle with Apple products. Disney+ is targeted to reach 60 to 90 million global subscribers by 2024 (The Hollywood Reporter). Although it was impressive for Disney+ to have brought in 10 million subscribers for its launch, it still has a long way to go if it wants to catch up with Netflix. That said, the combined force of these new streaming services, although not

immediately lethal, makes the future of Netflix uncertain. Exclusive content and product bundling are the marketing strategies of choice at the moment. Given the dynamic nature of the industry, which is still in its early days relative to its cable television predecessor, new strategies will be introduced by providers to turn the tide in their favor, however slightly. It’ll be tough to predict the winner–if there will even be one at all–but viewers will undeniably be inundated with choices. Selecting a service that is worth the money is another matter entirely. Jasmine is Jumpstart’s Editorial Assistant. January 2020

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Should Big Tech Be Broken Up? The feasibility and necessity of Elizabeth Warren’s controversial plan By DANEESH SHAHAR

n February 9, 2019, Massachusetts Democratic Senator Elizabeth Warren announced her candidacy in the 2020 presidential election. A month later, her campaign published a post on Medium titled “Here’s how we can break up Big Tech,” detailing Warren’s plans to correct what she sees as monopolistic activity from tech giants such as Google, Amazon, and Facebook. Warren’s breakup plan follows a twopronged approach. The first involves banning companies that generate more than US$25 billion in annual revenue from participating on their own platforms. The second requires a reversal of ‘anti-competitive’ tech mergers. Effectively, with her legislation, a company like Amazon would not be able to list AmazonBasics products on their platform, and would have to reverse their acquisition of Whole Foods. The plan is objectively radical, but it speaks to the growing sentiment among academics, politicians, and technologists about the devastating effect Big Tech may have on innovation and market competition.

The case for a breakup

Big Tech’s size and mobility of capital makes it easy for them to either acquire startups that directly compete with them, or smother newcomers by appropriating their unique features.

roponents of a breakup argue that Google, Amazon, Facebook, and Apple (GAFA) have unfairly leveraged their ownership of these platforms, and believe measures like the ones proposed by Warren would restore competition in the free market. In recent years, several tech companies have expressed dissatisfaction with their treatment on Big Tech platforms. Yelp CEO and Co-founder Jeremy Stoppelman famously engaged in a multi-year campaign against Google, alleging that searches for restaurants consistently displayed user reviews from Google before Yelp results. In effect, this sort of favoritism is jeopardizing the usefulness of Google’s platform for other companies. Similar public cases like Spotify vs Apple’s App Store and Vendors vs Amazon’s private label AmazonBasics further illustrate Big Tech’s propensity to extract more value from their platforms at the expense of third parties. Aside from quelling monopolistic behavior, Warren makes the case that a breakup

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would give startups competing with Big Tech a fighting chance. In the United States, a key factor in any investment deal is whether a startup is in the ‘kill zone.’ The ‘kill zone’ is the area around an industry that is not worth investing in because a GAFA firm exists in the space. Startups in ecommerce, social media, search, and mobile hardware–to name several of Big Tech’s primary sectors–are automatically ruled out as potential portfolio companies. Big Tech’s size and mobility of capital make it easy for them to either acquire

Consumers also have a bone to pick with tech giants. Google and Facebook users have free access to the services in exchange for personal information such as their search history and cookies. startups that directly compete with them, or smother newcomers by appropriating their unique features. Snapchat famously turned down a $3 billion acquisition offer from Facebook, only for Facebook to copy features like stories and filters for Instagram, thereby making Snapchat irrelevant.

Warren’s proposal aims to dismantle the ‘kill zone’ by limiting Big Tech’s capacity to dominate an industry uncontested. Ideally, entrepreneurs will be able to secure funding from venture capitalists without the threat of GAFA looming over them. Consumers may also have a bone to pick with tech giants. Users on Google and Facebook have free access to the service in exchange for personal information such as their search history and cookies. According to Nicholas Economides, a Professor of Economics at New York University, this structure flies in the face of market principles. “The market between the user and the company on acquisition of personal data does not function properly as a market, as everyone is giving their personal data for free,” he says. “If the default regime were opt-out rather than opt-in and the market for personal data acquisition was properly functioning, users would receive various amounts of monetary compensation from the companies depending on each user’s preferences.”

Legal opacity

arren’s plan to break up Big Tech might, however, be ahead of its time. It’s faced with fierce opposition from both political and academic circles, casting doubt onto not only whether her antitrust regulation would pass into law, but also whether it’s even the right course of action. “Under present antitrust law, breakups and other structural remedies can only be imposed when there is proof of extreme violations of antitrust law,” says Economides. “At present, we do not have well-defined violations. We are really far away from establishing extreme violations of antitrust law for which a [breakup] would be appropriate.” The severity of Warren’s proposal requires compelling evidence that highlights the seriousness of the crimes committed. Investigations are still in their infancy, and it’s unclear whether the current legal framework can support the proposed breakup. “Politicians seem to base their conclusions on breakups on a fictional antitrust law which is much more draconian than

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the existing one,” Economides says. Proceeding heedless of these warnings could be harmful to Warren’s cause. If the approach to a breakup is ill-conceived and leads to the failure of a lawsuit, it could set an unfavorable precedent for future regulation, making breakups more difficult even in instances of explicit monopolistic behavior.

Drivers of innovation

reakup advocates often argue that Big Tech subsidiaries are worth more separately than they are together. Amazon Web Services (AWS) is said to be worth as much as $600 billion (Business Insider) if independent of Amazon, because it would no longer be grouped with the less profitable ecommerce business. The same argument extends to Instagram diverging from Facebook, and YouTube leaving Google. However, the ‘sum is greater than the parts’ view ignores the fundamental dynamics among different arms of a Big Tech firm. Profit centers like AWS help subsidize risky and often unprofitable ventures. Amazon relied on the profits of AWS when it first experimented with Elizabeth Warren, the senior United States senator from Massachusetts and a 2020 presidential candidate. Photo courtesy of Gage Skidmore / Flickr.

costly projects like overnight shipping and Prime Video, while Google’s ad business continues to support Alphabet’s X, a secretive innovation lab developing novel technologies such as Internet balloons.

Despite doubts about the legal viability and support for her plan, critics cannot entirely dismiss the notion that antitrust regulation for Big Tech is necessary.

The subsidization of risky projects contradicts Warren’s argument that Big Tech’s domination stifles innovation. In 2018, Amazon and Alphabet were the top spenders on research and development globally, shelling out $22.6 billion and $16.2 billion, respectively. Losing access to the shared pool of money within GAFA companies would likely affect how these companies prioritize innovation.

The future of antitrust

arren stresses that the nature of these platforms will essentially remain the same after her plan is enacted. Users will still be able to enjoy the benefits of two-day shipping on Amazon, and virtually interact with friends and family on Facebook. The difference will be that smaller businesses will no longer be pushed out of these platforms by GAFA’s tendency to favor their own vendors or services. The market will be corrected, and freedom of entrepreneurship, restored. Despite the doubt stemming from discourse around the legal viability and support for her plan, critics cannot entirely dismiss the notion that antitrust regulation for Big Tech is necessary. Antitrust action should not immediately jump to a breakup at the expense of neglecting other forms of incremental but important regulation. Whether the issue of GAFA will play a major role in the upcoming presidential election is unclear. Perhaps the majority of Americans care more about their health insurance than about the danger of Facebook acquiring competing startups. But how the candidates frame their plan for regulating Big Tech–if they even have one–will hint at how successful they will be at combating it when they take office. Daneesh is Jumpstart’s Journalist in Residence.

January 2020

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By Highways and Byways Reinventing experiential travel with TripGuru By KHADIJA AZHAR

hile most travel brochures are littered with luxury resorts and popular tourist attractions, globetrotting millennials are itching for more unique experiences that offer just as much fulfillment as relaxation. Hong Kong-based tour booking platform TripGuru harnesses local knowledge to provide customers with one-of-a-kind travel experiences in 40 different destinations around the world. Positioned at the nexus of their business model is an appreciation for personal connections, and a vision to empower local communities that are often exploited by the industry. Since founding in 2015, the platform has received support from Betatron’s accelerator and recently raised a Series A funding round backed by Catalyst Ventures. With over 30,000 successful bookings and US$1 million in sales, the company has cemented partnerships with travel giants Expedia, Airbnb, and TripAdvisor. Co-founder Sebastian Renzacci breaks down the startup’s journey and how it’s carving a space for itself in the industry. What is TripGuru’s founding story? I encountered several challenges traveling alone through Asia during my corporate days. Suppliers were offline, and they always required a minimum number of participants.

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My business partner Francesco and I saw there was a huge market opportunity with rising demand in travel experiences. Personally speaking, I always wanted to be an entrepreneur. My grandfather and father were entrepreneurs, as well. I would say it’s in my blood. Why did you choose to headquarter your business in Hong Kong? Over the last few years, the government started giving the right attention to Hong Kong’s startup scene. We gained access to government support, incubation and acceleration programs, and our first angel investors. Some would say we were at the right place at the right time. TripGuru’s business model revolves around personalization and forming social connections. Why are they so important? Today’s consumers are looking more and more for experiences that are unique and make them feel connected to the destinaAbove: A few of TripGuru’s guides. Below: TripGuru Co-founder Sebastian Renzacci. Photos courtesy of TripGuru.

tion, local culture, people, and food. We personalize our products as much as possible, creating itineraries based on data and trends about the target market and curating travel groups based on demographics that have proven to work. You don’t realize it when you’re on our tours, but we did all the work behind the scenes, so you have a great day. How does technology help TripGuru achieve its mission? Our vision is to make booking tours as simple as booking tickets to the movies. We want to make the experience seamless and bring in the technology to reduce cutoff times, so you can book a tour a few hours before it starts. We’re also developing an app for our tour guides that will be connected to our reservation system. This helps you to track them in real-time like you would do an Uber or Grab driver. What trends do you see emerging for the travel industry in the next decade? I think travel will be even more affordable and logistically accessible thanks to new routes, infrastructure, access to data, and money. I see a future with fewer obstacles in terms of immigration and visa processes. Everything will be digitized. New destinations and markets will emerge, as well. People don’t just want to go to Paris or Bangkok anymore. They want to go to what are currently tier two or three destinations. I think solo travel will also increase by a lot thanks to more access to information, and social networks to connect with people in different places. Finally, more instant, on-demand services like TripGuru. thetripguru.com

October 2019

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For brands to compete in the next 10 years, a worldview will be imperative. pled with the romanticization of Silicon Valley’s overwork ethic, became the most prevalent cause of the 2010s millennial burnout. Add in a healthy dose of political instability, increasing financial inequality, outrage culture, and outcries like the #MeToo movement, and you’ve just opened the floodgates for what we now know as the new wellness lifestyle. Wellness has become all but ubiquitous. Rebellious acts of self-care like meditation, healthy eating, functional medicine, and partaking in the exercise cult du jour have now become commonplace, where most of the products you’ll need can be found at your local CVS. We’ve been searching for personal transformation these past 10 years. We wanted experiences that changed us. Even the brands we hated to love (or loved to hate) like WeWork, Uber, and Away tapped into this desire. No matter how many times we tore them down, we found others to build back up in the same way. They gave us identity, community, and belonging in unsafe places. They gave us a

20 Going On 30 2020 is an inflection point for brands By JASMINE BINA

rand strategy, at its most basic level, is a prediction. As a founder, you predict where the user is going in their journey, what the market will be able to bear, and how your competitors will move, so you may defensively place your brand in the landscape. In a way, a strategist’s job is to be a futurist. In my decade of brand strategy work, I have found that the most effective way to predict the future is to look back at the past. A world of change has happened in the space over the last 10 years, and if we pay attention, we’ll find the clues that point to what the next 10 may look like.

A decade of identity brands behind us Premium is the new luxury

f there’s one thing that’s dramatically changed the landscape in the last decade, it’s the outsized growth of the premium segment across all categories. From Whole Foods invading our neighborhoods, SUVs overtaking our roads, and a steady stream of subscription boxes like 46

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Ipsy and Dollar Shave Club collecting in our homes, the last 10 years proved that people were ready to pay a premium for an elevated experience. Meanwhile, premium products were eating away market share from both the utility and luxury ends of the spectrum. Fueled by the direct-to-consumer (D2C) madness, which was bolstered by the VC world, this trend felt unstoppable until this year. Copycat majors like Walmart came out with their own ‘disruptor’ brands such as Allswell–a cheaper take on Casper. Meanwhile, conglomerates like P&G used their in-house venture arms to help launch companies such as Kindra, a line of hormone-free lotions and supplements. They revealed that D2C is not a defensible business model, while the huge spike in Facebook Ad costs proved that social targeting is not a sustainable advantage for D2C companies.

Lifestyle reigns supreme

ifestyle brands came in strong, but they took a specific turn halfway through the decade. The rise (and false promises) of the gig economy, cou-

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way to place ourselves in the world. Now with 2020 upon us, they signal what the next 10 years might look like.

A decade of worldview brands ahead of us Perspective in a changing world

he proliferation of technologies has made the need for near-constant decision-making in our lives more complicated than it has ever been. But new technologies, namely AI, promise to change that. The incentive to make our lives more frictionless has never been higher. As we accept more and more of these AI-based technologies into our homes and worlds, we’ll find that the platforms that own them become even more significant stakeholders. We’ll see this dynamic play out most prominently on social media, where manipulation of public perception will only grow in magnitude. We’ll be searching for context in an increasingly context-less, virtual world. Herd mentality will inevitably rear its head over and over again as it has for centuries, except this time, the herd will be fragmented and unanchored. In the face of such uncertainty, a brand’s new role will be to reflect a world-

view. We already see early signs of this shift, such as when Patagonia sued the President or when Nike gave Colin Kaepernick both a voice and a vote of support after the NFL tried to silence his message. We’re at a point where brands are permitted to enter these discourses and offer alternative perspectives that only they can initiate. They stand at the intersection of power and service–an intersection once inhabited by government and religion– and as such, they can move the needle in a uniquely meaningful way. A worldview means power. Creating perspective, owning a value system through which to see oneself and others, and a metric to measure reality by–these are the things that will make a worldview so valuable, especially in times of change. For brands to compete in the next 10 years, a worldview will be imperative. We will all be forced into this new paradigm, and the winners will be those who can square that view with the internal workings of the company.

The blurring line between the internal and external

he real difficulty with having a worldview isn’t in defining it, but in living it. Hiring, product devel-

opment, organizational structure, and mission all need to feed into it. This task can be difficult when a worldview stands in opposition to competitiveness or growth. We already know that consumers are discerning, but in the next 10 years, they will become increasingly empowered as well. We stand to see a consumer base that doesn’t just vote with their dollars, but one that creates pressure campaigns, self-organizes, and sways the media narrative just as it does the cultural narrative. We may shift our centers of morality away from government, religion, and other authorities, but whatever that focus lands on–brands or otherwise–the actor will be held to the same standards. What a brand says and what a brand does must be completely synonymous. This statement may sound obvious, but it is a far cry from where even the most transparent brands are today. Look no further than Away’s recent PR fiasco involving leaked Slack messages and the exposure of a toxic work culture, which stood in stark contrast to the aspirational travel lifestyle the brand portrayed. Consumer and media pressure led to the swift replacement of the company’s CEO. Not even a US$1.4 billion valuation could distract from the disconnect between internal and external values. In fact, it likely magnified it, instead. A worldview of tolerance will mean radical tolerance within the company. A worldview of equality will mean equal treatment for employees. A worldview of humanity will mean reengineering the company culture to embody humane practices. What’s more, none of these actions directly correlate to revenue or market share. They may even push against those considerations. We are looking at a future where CEOs and founders will have to consider their role in society outside of their product. It’s not the same as corporate social responsibility or doing business ethically. It’s making your brand your operations. It’s selling the way you do things.

remium positioning and lifestyle branding have led us to a future of worldview brands, where perspective reigns supreme. It’s a new territory that leaves no room for a separation between the internal and external, but it’s also a horizon brimming with opportunities. The next 10 years will change how we relate to ourselves and our communities, and it’s a chance for brands to renegotiate their roles in society.

January 2020

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Crypto Capers and the Digital Wild West Unpacking the vulnerabilities in the cryptocurrency market By KHADIJA AZHAR

bank, cryptocurrency exists entirely outside the confines of centralized regulation. Instead, the blockchain mechanisms behind cryptocurrency create a system of automatic checks and balances that maintain transparency and prevent double-spending. Cryptocurrency is nothing like fiat currency except in its capacity as a medium of exchange. No crypto wallet is bursting at the seams with unwanted coins or frayed paper notes; in fact, a unit of cryptocurrency has no value unless paired with public and private keys.

Many [cryptocurrency exchanges] were not built with cybersecurity being the first priority.

ogically speaking, the most difficult part of robbing a bank is trying not to get caught. With surveillance cameras and security personnel tracking one’s every movement and the ease with which one can inadvertently leave damning DNA evidence behind, it’s safe to assume that a modern-day Dillinger won’t be cashing in on your savings anytime soon. However, protection through surveillance comes at a cost. Fiat currency is difficult to steal inconspicuously, but it also opens people up to scrutiny from regula48

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January 2020

tory authorities that manage legal tender. Since its advent in 2009, cryptocurrency has provided users with unprecedented privacy over their transactions, and the promise that nothing can be traced back to you. The unintended consequence is that the space seems to be a treasure trove of opportunity for hackers seeking to profit through illegal means.

Understanding cryptocurrency

hile fiat currency is managed by an authority, such as the government or a state

Unique to every wallet, keys are alphanumeric codes that allow encryption and decryption. Private keys are known to users alone and help sign transactions digitally to prove ownership. In turn, public keys are generated from private keys and shortened into public addresses that are visible to all users on the network. PwC Asia FinTech and Crypto Leader Henri Arslanian draws upon a simple analogy to explain the process: “If you give me just your address, I can know where you live, but I can never enter your house. But if I have a copy of your house key with your address on it, I know where you live and I can also enter your house.” A user’s public address cannot be reverse engineered to generate a private key due to the limitations of computational power, making it completely secure. In effect, it functions much like a house address in Arslanian’s analogy. By contrast, a private key is an all-access pass to a wallet, so its security is crucial.

Where does your crypto go?

uyers can choose either hot or cold wallets as a form of personal storage. Hot wallets are usually free and support multiple kinds of cryptocurrency, making them an attractive option. However, since they are connected to the Internet, they are also vulnerable to attacks. Alternatively, cold wallets usually

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come at a price (around US$80), accept fewer kinds of currency, and are completely offline. While they are incredibly secure, they are inconvenient for people who don’t have adequate technical knowledge to manage their assets. If personal storage is not a concern, some buyers will choose to store their currency at exchanges. Crypto exchanges offer management services, and facilitate trade between various digital currencies as well as fiat currency. As a result, they are arguably the most convenient option for storage. Convenience, however, does not always translate into security.

of US$4 billion was lost to cyberattacks on cryptocurrency in 2019 alone (Forbes). This isn’t to say that cryptocurrency stored in wallets is completely safe. Hot wallets can be hacked and cold wallets can be stolen or lost. If you’re particularly public about your investments, you could even be the victim of a ‘$5 wrench attack,’ or when criminals kidnap investors and demand ransom in the form of cryptocurrency keys.

How to prevent theft

hile there is no fool-proof way to protect against cyber attacks, preventative measures can reduce their likelihood, regardless of where the assets are stored. According to Arslanian, “It’s important for exchanges, not only to have external protection from hackers, but also to have good internal policies and frameworks to reduce the risk of rogue employees and internal hacks.” Cryptocurrency exchanges have begun to store a majority of their assets in cold wallets, and solicited third-party custodians to produce more complex security measures. Decentralization has arguably played a key role in ramping up security. Decentralized exchanges allow users to

Crypto theft

any [cryptocurrency exchanges] were not built with cybersecurity being the first priority,’’ Arslanian explains. The sudden boom in cryptocurrency markets did not leave much room for the development of reliable security infrastructures, since most exchanges were focused on easing investment procedures. Unfortunately, this oversight opened doors for bad actors to steal cryptocurrency through phishing scams, malware attacks, and direct hacks, among others. In fact, some estimates suggest that a total

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keep their private keys in their personal wallets, effectively merging the convenience of an exchange with the security of a personal wallet. In addition, individual investors can take numerous steps to secure their currency. Arslanian advises that they find a “balance between how much of their assets they leave in cold wallets versus hot wallets” and “do the due diligence on where they are leaving their assets” if they choose to store them at exchanges. Also, it’s important that private keys are stored securely, ideally on offline platforms.

s a result of these particular vulnerabilities, the cryptocurrency market has found it difficult to establish itself on the same footing as the financial market. To make matters worse, concerns about crypto safety are often overstated as a result of “negative media attention” according to Arslanian. It’s important to realize that these lapses in security are not characteristic to the currency itself but to the methods of storing this currency. As security infrastructures improve and investor confidence increases, cryptocurrency could become as ubiquitous as fiat currency within the next few years. Khadija is Jumpstart’s Editorial Intern.

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January 2020

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FEATURES COVER STORY

Jumpstart Magazine

January 2020

FEATURES COVER STORY

THE BORDERLESS DECADE Globalization and the new global financial paradigm with Airwallex Co-founder Lucy Liu

By MIN CHEN

January 2020

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A F

FEATURES COVER STORY

t the turn of the Millennium, sitting at a Starbucks in Tokyo or watching a film with subtitles were seen as globalization doing its work. Today, in a world where billions of people know about a district in Seoul called Gangnam and where third-culture kids walk among us in greater numbers, a new age of interdependence is taking shape. While it would appear that we’ve acclimated to cultural homogenization with ease, economic integration seems to be another story. In 2015, then 25-year-old Lucy Liu–a Chinese-born Melbournite–decided to take a break from her investment banking career. She went on vacation in Europe with her husband and recalled feeling “ripped off ” by exchange rates as they traveled from one country to the next. Upon returning home, she visited her college friends from the University of Melbourne, Jack Zhang and Max Li, at their new-

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January 2020

ly-opened coffee shop, where they shared a similar frustration of having to pay high transaction fees for importing cups from overseas. The three friends immediately identified the need for a more streamlined, transparent, and cost-effective solution for cross-border business payments, and founded Airwallex the same year with a fourth co-founder, Xijing Dai. While consumer-facing forex products have seen notable progress in the digital age– the prime example being TransferWise, Europe’s most valuable fintech startup–the same can’t be said for businesses, which is the gap Airwallex works to fill. In addition to facilitating cross-border payments, the platform also allows companies to set up bank accounts in countries where they have paying customers and move revenue back to their headquarters at a competitive exchange rate. These products, alongside others in the pipeline–such as the Airwallex Virtual Multi-Currency Card–serve to realize the founders’ vision for a simpler global financial infrastructure, where business opportunities are truly borderless. Airwallex is, by all accounts, well-

equipped to take on this task. The company achieved unicorn status last year after a US$100 million Series C fundraise led by DST Global, becoming the third tech startup to do so in Australia and in record time, no less. Jumpstart sat down with Liu to better understand the company’s technology, expansion plans, and vision for the future as we enter a new decade of fintech innovation.

A breath of fresh air

ince coming onto the scene, Airwallex has become a leading player for cross-border payments in the Asia-Pacific (APAC) region, with clients including JD.com, Bank of East Asia, and SHEIN. But identifying the right model took some tweaking, as the company pivoted from being a web application for small and medium-sized enterprises (SMEs) to an API solution in Below: Liu speaking on the ‘Building a billion-dollar company beyond the Valley’ panel at Web Summit in 2019. Right: Airwallex Co-founder Lucy Liu. Photos courtesy of Airwallex.

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We focus on building applications that help businesses expand and scale in the new digital world. These tools havenâ&#x20AC;&#x2122;t been given to them as a service because their business models are so new as well.

Lucy Liu

January 2020

FEATURES COVER STORY

People-growth is more important than business growth. You can be slow in growing your revenue, but if you make the wrong hire or if you don’t have the right people in place, it affects you a lot. its first year. Liu says the founders “didn’t anticipate the acquisition cost of SMEs” and realized that “the pain point is not as obvious as enterprises” due to the low volume of payments. But they knew that a web application and an API solution go hand-in-hand, so the company now offers both. “We have clients who have been on Airwallex Co-founders (from left to right): Xijing Dai, Lucy Liu, Jack Zhang, and Max Li. Photo courtesy of Airwallex. 54

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the web application and want to move onto a full API integration, and we have API-integrated clients who still want a manual dashboard to use,” says Liu. “The API product generated volume, but a web application is always a better stock because it’s just easier to sell.” Airwallex’s core business centers around its role as a forex market maker; forex margins differ in each country and region, reaching as high as 4 to 8% in the U.S. and Europe. By plugging into various liquidity providers, the company can access wholesale exchange rates that are usually offered to institutional banking clients, and passes on the discount to its users, saving them up to 90% on their forex spend. Liu uses the analogy of “sending a big cargo instead of small parcels” to explain how the company achieves economies of scale. As for innovation, Airwallex’s primary proprietary technologies are (1) point-topoint money transfer and (2) infrastructural tools. The former is an algorithm that allows the platform to identify the best route for money to arrive at its destination Traditionally, money is routed through

a complex network of banks between the two countries, making it a slow and costly process. Airwallex overrides this process by integrating with the local settlement systems, either by partnering with a bank or obtaining a license to operate as a settlement provider. On the infrastructure side, Airwallex designs products that specifically cater to cross-border commerce. “We focus on building applications that help businesses expand and scale in the new digital world,” says Liu. “These tools haven’t been given to them as a service because their business models are so new as well.” For example, Global Accounts allows clients to collect money locally, and exchange it into the currency of their home country or use it to pay a local supplier. It also supports merchant payouts, which could involve thousands of cross-border payments–a manageable task for marketplace giants like Etsy or eBay, but a different story for businesses that need to carry out the payments manually. AI development is also a priority for Airwallex, where it now has a wealth of data at its disposal after years of opera-

COVER STORY FEATURES

tion. Liu explains that such efforts focus on detecting non-compliant behavior and analyzing trade activity, which help the company manage liquidity and prepare for events like Black Friday or Singles’ Day. “The magic of data is that it can help you find patterns and build risk profiles to predict certain behaviors or prevent certain behaviors from happening. You then pass it on to human intervention, as opposed to using thousands of operations people like banks,” adds Liu. Automation is invaluable for a company that has been international from day one. Even so, Liu recalls spreading the team very thin in the early days, adding that having satellite offices was a challenge to keeping employees engaged. Growing from four to over 400 employees in four years necessitated that Airwallex implement an onboarding process that would lay the foundation for a strong team. All new hires work from one of the main offices in Australia, Hong Kong, or Shanghai for three weeks as a way to connect with the company’s culture. “People-growth is more important than business growth,” says Liu. “You can be slow in growing your revenue, but if you make the wrong hire or if you don’t have the right people in place, it affects you a lot.” This people-centric approach also applies to the company’s fundraising strategy. Fintech startups are disproportionately put under the microscope, as trust–on the part of consumers, institutions, and regulators–is paramount. Liu stresses the importance of relationship-building, believing that “it’s almost impossible to build trust without personal interactions,” but adds that it does become easier over time. For Airwallex, bringing in heavyweights like Tencent, Sequoia China, and Mastercard for its Series A fundraise helped instill trust in the company for partners, clients, and other investors. “At different stages, you run into different things. Trust-building is a marathon. You need to always be professional and working on things to make sure people trust you,” says Liu.

sive network makes for a compelling case. “For European clients, [they] already have everything in place, but our knowledge and infrastructure in APAC is pretty unique,” says Liu. “The market is big enough for everyone to have a piece of the cake.”

I hope to see another fintech company built on top of our infrastructure– such as one that only focuses on loan applications to use our API–so they can have their own mini Airwallex, in a way. Localization is more nuanced in less developed markets like Southeast Asia, Latin America, and–to an extent–China, as users made a direct jump from cash to digital payments. Thus, companies like Airwallex must look at building prepaid cards or digital wallets into their system, which also has the added benefit of encouraging financial inclusion for the unbanked in these regions.

“For our network to be impactful, we need to enable additional endpoints other than bank accounts,” says Liu. “Localization-wise, we need to enable whatever is the preferred payment method in that country.” Navigating local compliance regulation continues to take precedence as Airwallex expands, especially when operating in countries with lower risk appetites and tighter capital controls. Liu has always pushed the idea that oversight is good for fintech companies because lack of policy clarity is a huge source of frustration, and it’s “tough to compete in a market where there is so much noise.” As a whole, she observes a trend toward openness and eagerness to catch up with innovation on the part of regulators. “Four years back, everyone was so cautious, saying I have no idea what you do, so we might as well not let you do it. Now, regulators are more observant and knowledgeable about what’s going on,” she adds. As for product diversification, Airwallex is looking at loan payments and other products that address the most pressing needs of any businesses, namely payments, liquidity, and working capital. Liu says that Airwallex doesn’t endeavor to build each of these products themselves, but hopes to create an ecosystem of partners that have the same vision. “I hope to see another fintech company

Businesses without borders

irwallex is now taking on both developed and emerging payment markets around the globe. Liu says the company’s proposition in mature markets like Europe and the U.S. remains unchanged, where its extenJanuary 2020

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I look forward to an employee becoming a founder. I think the coolest thing is to have something like the ‘PayPal Mafia’– when employees leave established startups to found their own company. That would be really awesome. built on top of our infrastructure–such as one that only focuses on loan applications to use our API–so they can have their own mini Airwallex, in a way,” says Liu. “It’s a complex product, but I think, over time, it will become our most powerful.” Despite such ambitions, Liu says that Airwallex is not in it to disrupt financial markets. Instead, its future goes back to the company’s founding mission: making international growth financially and operationally feasible, and establishing a paradigm where businesses don’t need to wait months to open a bank account. “The road we want to pave is one where people don’t need to ask How do I get paid? or How do I get the money back to my working capital? We want to be the default choice,” says Liu.

The Airwallex Web App dashboard. Photo courtesy of Airwallex.

ecoming the go-to international payment service provider is no small undertaking to say the least. Startups and institutions are scrambling to innovate in a space that offers a wealth of opportunity in light of the increasing fluidity of cross-border commerce. In 2018, business-to-business cross-border transactions generated $125 billion in revenue. It’s this sense of urgency that has propelled Airwallex to grow at such a pace (SWIFT and McKinsey & Company). “I think with us, becoming a unicorn was not by choice because you have to rapidly expand to become a player in the industry,” says Liu. “In my opinion, there’s no such thing as a small payment company.” To Airwallex’s co-founders, fundraising was never an end, but a means for them to continue to execute their business model effectively, and increase volume and flow. Liu has another aspiration for the company, which is to inspire the next bil56

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January 2020

The Airwallex Developer API allows for smart automation and integration. Photo courtesy of Airwallex.

lion-dollar startup. “I look forward to an employee becoming a founder. I think the coolest thing is to have something like the ‘PayPal Mafia’– when employees leave established startups to found their own company,” says Liu. “That would be really awesome.” The past few years have been a whirlwind for Liu personally. She admits that there is no work-life balance when it comes to building a startup, although she does enjoy working and letting herself get lost in the process.

She still travels when her schedule permits, making time to dine at new restaurants and fuel her coffee obsession. It’s with this balanced attitude that she is able to take on the “two startups” in her life–the second being her 14-month-old daughter. “I’m very lucky to have a supportive family, so it can be done,” says Liu. “I’ve been telling people that you can have whatever you want in life as long as you work hard at it.” Min is Jumpstart’s Editor in Chief.

January 2020

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January 2020

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Disruptive Technologies You Haven't Heard About Yet

nother decade has come and gone. As we enter the 2020s, we will inevitably be confronted by a host of new technologies that will improve our efficiency, alter our relationship with nature, and perhaps even challenge our perception of what it means to be human. Jumpstart skims the surface of this future by exploring 20 technologies that will come to define or see dramatic advancements in the next decade, reshaping the world and our role in it. â&#x20AC;&#x201C;MC

January 2020

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Sustainability

Carbon Sequestration

by bacteria, viruses, and parasites (CDC). Scientists are now working to commercialize smart food labels that have the ability to determine freshness and safety. They can also provide manufacturers with more accurate data for assessing their production cycles, reducing the amount of wastage in the system. Researchers from the University of Alberta have developed a label that changes color upon detection of a known pathogen. The labels are made from a reactive polymer layered with biosensors to identify specific molecules–similar to the workings of a pregnancy test. Another example is London-based Mimica Touch; its labels use temperature to determine the freshness of juice, dairy, and red meat, where they will turn from smooth to bumpy if the product is spoiled. MarketWatch expects the market to reach US$16 million by 2024. –MC

veryone wants to solve climate change. Companies have pumped billions into finding production methods that leave less of a carbon footprint, but it hasn’t been enough. The 2019 Intergovernmental Panel on Climate Change report suggests that reducing emissions to a sustainable level would require transitions across industries of an “unprecedented” scale, necessitating “negative emissions” solutions like carbon sequestration to remove the carbon dioxide we’ve already created. There’s more than one way to sequester carbon, whether it’s afforestation, reforestation, or capturing the CO2 from waste-intensive processes and pumping it deep into the ground to be absorbed into rock. There is even a carbon-sequestering raincoat made of an algae-based alternative plastic. The concern with many of these methods of removing carbon from the atmosphere is that they may produce more CO2 than they absorb. Greenhouse gases are also continually produced through other human activities, such as transportation. However, companies and researchers seem to be leaning toward the potential of direct air capture (DAC), although it’s a resource-intensive process. In 2019, several oil and gas giants, including ExxonMobil, Occidental, and Chevron, put their money on DAC startups in large investment deals. The next hurdle now lies in scaling carbon capture up to a point where it could help the world avert a climate emergency. –NB

they lead to excessive algae growth that monopolizes oxygen and creates large ‘dead zones’ in the ocean. Smart fertilizers can address this problem. Developed by multiple producers of agriculture products, these capsules can adjust the nutrient release rate based on factors such as soil temperature and soil moisture. Haifa Group, an Israel-based chemicals company, is now manufacturing a polymer-coated capsule containing plant nutrients that slowly degrades based on the soil temperature. After all the contents of

the capsule have been released, the shell itself breaks down and decomposes. The invention of smart fertilizers means that there will be higher yields, and a higher level of nutrients will reach the plants. –NB

Biotech

Smart Food Labels e may be a species consumed by our obsession with food, but we haven’t done well in our efforts to manage its production. According to the United Nations Food and Agriculture Organization, about one-third of the food produced for human consumption is wasted annually–largely a consequence of poor planning on the part of supply chain actors. More devastating still, the organization estimates that around 25,000 people die from hunger every single day. Food waste mainly occurs at the end of the supply chain, where consumer behavior plays a major role. Expiration dates are often inaccurate and fail to reflect the actual state of the product, leading to the frequent disposal of perfectly edible food. On the other side of the coin, countless are affected by and even die from the more-than 250 foodborne illnesses caused

Sustainability

Smart Fertilizers ndustrial fertilizers used for largescale crops have a nasty reputation for polluting the ground and waterways with large doses of nitrogen. These chemicals generally haven’t been absorbed by the crops because they’re not needed, or the soil isn’t able to support crop growth at all. Unabsorbed chemicals runoff into rivers and oceans after rainfall, where

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January 2020

Mimica Touch Founder and Director Solveiga Pakštaitė. Photo courtesy of Mimica Touch.

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Computing

Zero-Knowledge Proof wareness around data privacy has skyrocketed in recent years, but little has been done by tech companies to appease users’ worries aside from empty assurances. The solution could be zero-knowledge proof (ZKP), a cryptographic protocol that enables data verification by a third party without the user actually having to provide the data. For example, x wants to enter an online competition. A ZKP registration system would allow the organizer to know that x is over 18-years-old without x having to reveal their date of birth. Researchers from MIT and the

University of Toronto first proposed this method in 1985 with the publication of “The Knowledge Complexity of Interactive Proof-Systems.” The past few years have seen a surge of interest in the technology, primarily due to its applications in the blockchain space. While public blockchains like Bitcoin and Ethereum claim that their transactions are anonymous, they are–in fact–pseudonymous because individuals are represented by a string of letters and numbers known as ‘addresses’ (MIT Technology Review). Thus, users’ identities could be compromised should their blockchain address be linked to their physical address. Zcash was the first cryptocurrency to use ZKP to ensure that information about

Hardware

Femto Photography

Vactrains

n 1964, Harold Eugene “Doc” Edgerton made waves in the scientific community for his manipulation of photographic exposure to capture a bullet in motion at a million frames per second. Today, if the trajectory of Edgerton’s bullet was slowed down using Femto Photography, it would take an entire year to watch the event unfold. Unveiled by MIT Professor Ramesh Raskar at a TED talk in 2012, Femto Photography is an imaging technique so powerful, it can capture the propagation of light. Operating at a trillion frames per second, Femto Photography illuminates scenes using intense bursts of light, which then reflect off surfaces and return to the camera at different time intervals. In a process much like stop-motion animation, scientists can analyze these intervals in multiple images and create a 3D reconstruction of the scene (MIT, 2013). While it’s still a prototype, the technology could have far-reaching implications when commercialized. They could film around corners, locate objects hidden from sight in military and rescue operations, and improve medical imaging techniques by helping doctors visualize areas normally inaccessible by catheters. Interestingly, they could even lead to the creation of new art forms and artistic methods (Velten et al., 2013). –KA

reams of commercial supersonic travel may have been benched after the demise of the Concorde, but Vactrains are offering newfound hope. Vactrains, also known as evacuated tube transport, operate in tunnels, where the air is removed to create a vacuum in a bid to eliminate air resistance. While they were first conceptualized by American engineer Robert Goddard in 1904 (Gizmodo), the idea took off in the 2010s, with entrepreneurs like Elon Musk investing time and money into making it a reality. Musk’s project, known as Hyperloop, combines maglev (magnetic

the sender and recipient is entirely hidden during a transaction. ZKP is garnering interest from large banks that were previously skeptical about digital currencies, as it could significantly lower the threat of a security breach and allow users to take back control of their data. –MC levitation) technology with the Vactrain concept to circumvent the speed barrier created by resistance. Vactrains could theoretically exceed speeds of 4,000 mph and would be noiseless even when breaking the sound barrier. While Musk’s project seems to have been overshadowed by his other entrepreneurial endeavours, companies such as Virgin Hyperloop One are promising operational systems as early as this year. Unfortunately, only one of Hyperloop One’s prototype pods has reached speeds of 240 mph (The New York Times), missing the target speed of 670 mph by more than half. While such missteps undercut investor confidence, a fully realized prototype could be on the horizon in a few years. –KA

January 2020

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Biotech

Bioprinting ioprinting involves 3D printers that utilize biomaterial–like a patient’s cells or adult stem cells–to create structures, such as organs, skin, and bones. The cells used in the process are cultivated into ‘bioink’ for the printer to use and are held in shape by a dissolvable outer shell. The technology has the potential to transform the transplant space, as printing organs will not only reduce lengthy wait times, but also reduce the chances of the body rejecting a donated organ. While the technology is still in the research stage, scientists in multiple countries have achieved breakthroughs in the field. Techniques have been discovered for bioprinted bone, cartilage, corneas, skin, hearts, and more. Up until recently, the main obstacle to commercializing bioprinting was that most 3D printers lack the necessary speed

to print an entire organ or organic structure without the cells dying. Printing at only a few millimeters per second, it took days to produce the structure–by which point the cells expired. However, researchers at the Vienna University of Technology have managed to engineer an exponentially faster printing process. It has a much higher chance of keeping the cells alive until they can be transplanted, putting this technology on a faster track to mainstream adoption (Science Daily). Researchers at Carnegie Mellon University’s Bioengineered Organs Initiative are also developing 3D ‘bioprinters’ that print biomaterials and cells within three-dimensional tissue constructs or even whole organs. –NB An example of a ‘bioprinter,’ which is currently being developed at the Bioengineered Organs Initiative. Photo courtesy of the Bioengineered Organs Initiative at Carnegie Mellon University.

Sustainability

Solar Paint he spread of solar panels has contributed immensely to the renewable energy movement, but having them installed on roofs is a troublesome task that many families don’t want to undertake. Luckily, something even more effective may be on the horizon. In 2017, researchers at the Royal Melbourne Institute of Technology (RMIT) developed a form of paint that can absorb solar energy. They also reported that it could absorb moisture from the air, split water into hydrogen and oxygen, and collect the hydrogen in fuel cells to be used later. RMIT’s find is the latest in several iterations of solar paint. ‘Quantum dot

Hardware

Virtual Retinal Display e have seen Tony Stark using retinal display technology when saving the world. Excitingly, virtual retinal displays (VRDs) actually exist in real life. According to Augmented Reality by Jon Peddie, retinal scanning displays involve projecting a pattern of photons directly onto the retina. In doing so, the viewer is able to see a conventional image floating right in front of their eyes. Currently, VRD technology is widely used in augmented reality (AR) glasses, which have made significant strides in the past decade. ‘Pinlight Display,’ AR eyeglasses developed by the University of North Carolina and NVIDIA in 2014,

Hardware

Waterless Toilets

odern wastewater treatment is the foundation of public sanitation and prevents the spread of infectious diseases such as cholera, but around 4.5 billion people still do not have access to such infrastructure (Gates Foundation). Displaced populations, including those living in refugee camps and slums, are most affected. Studies have found that a lack of toilet access correlates to the perpetuation of poverty and structural inequities, including poor health, stunted education opportunities, and violence

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January 2020

(Global Partnership for Education). An underdeveloped sewage system also forces the dumping of human waste in areas that risk the contamination of drinking water and food sources. The Gates Foundation was among the first aid organizations to bring this issue to light with the launch of the ‘Reinvent the Toilet Challenge’ in 2012, where it provided grants to university research departments working to find a solution. Other non-profit organizations and social impact funds have also supported sanitation technologies in recent years, and broader adoption has arrived. Last year, the Foundation revealed that its Helbling toilet–which turns human

waste into fertilizer–is ready for production and distribution. It projects the market for the toilet to reach £4.5billion by 2030 (Gates Foundation). Founded by MIT researchers in 2016, change:WATER Labs has similarly developed a flushing toilet that does not require water, power, or plumbing. It uses a proprietary polymer that dehydrates sewage to separate solids from liquids, making waste treatment more manageable for vulnerable regions. The toilets are environmentally safe and can be produced on a large scale and at a low cost. –MC The Gates Foundation at the Reinvented Toilet Expo in Beijing on November 8, 2018. Photo courtesy of zhangjin_net / Shutterstock.

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photovoltaics,’ developed by researchers at the University of Toronto in 2013, is said to be more efficient and cheaper to manufacture than regular solar cells. Sim-

ilarly, experiments at the University of Sheffield in 2014 led to the creation of ‘spray-on solar cells’ using a mineral called Perovskite. What makes RMIT’s paint special is that, in addition to generating solar power, it collects hydrogen–a clean form of fuel. If scaled up to a commercial level, its potential lies in painting areas that usually wouldn’t get enough sunlight to justify installing a solar panel, allowing all surfaces–from fences to treehouses–to generate clean energy. At present, solar paint is conceptual more than anything and unlikely to be available in the local hardware store anytime soon. However, it’s an exciting development that could offer solar energy that is less expensive and more efficient. –NB

allows the potential for a field of view greater than 100 degrees–a massive breakthrough compared to the current commercial AR glasses that have a field of view of 40 degrees (MIT Technology Review). When we think of smart glasses, we quickly imagine bulky eyewear that are not convenient for daily use. Pinlight Display’s design only consists of two simple hardware components (i.e., an LCD panel and an array of light sources that are placed directly in front of the eye), making the smart glasses more portable and lightweight (MIT Technology Review). Andrew Maimone, one of Pinlight Display’s developers, hopes that the technology will enable a future where we see “computer graphics more as an integral part of our visual system, rather than

something that exists only on external screens” (MIT Technology Review). Improved AR glasses will undoubtedly accelerate the spread of VRD technology in our daily lives. –JC

Hardware

Smart Clothing ith the advent of smartwatches and fitness trackers, wearable technology has evolved from a techno-utopian fantasy into an increasingly common fixture in everyday life. As the hype around these devices tempers with time, companies around the world are investing resources in what’s positioned to be the next industry game changer: smart clothing (Juniper Research, 2018). In 2015, Google unveiled the Commuter x Jacquard Jacket in collaboration with Levi Strauss, which could connect to smartphones to screen phone calls, control music playback, and help with navigation. Since then, smart clothing that can monitor the wearer’s health and even direct workouts has been commercialized. Sensoria has a range of fitness socks that collect data on the wearer’s running techniques and offer tips to improve style and speed. Alternatively, Wearable X produces yoga pants that connect to an iOS app and correct the wearer’s form using haptic feedback. However, smart clothes aren’t nearly as ubiquitous as wearable devices. Google’s Jacquard doesn’t provide much more control than a standard set of Bluetooth earphones, and clothes that offer health analytics provide the same solutions as most fitness trackers. Moreover, the embedded circuitry and external attachments required to offer a complete experience make smart clothes more expensive than their traditional counterparts. Although there’s still a ways to go, advances in functionality could turn smart clothing into a wardrobe staple. With the current pace of innovation, that doesn’t seem like a far-fetched prospect. –KA

January 2020

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Hardware

Biotech

New Internet Delivery

DNA Data Storage loud software firm DOMO found that more than 280,000 Instagram stories were posted per minute in 2019. It’s no surprise that we are facing a severe data shortage problem, which will only worsen in the coming decade. According to Megan Scudellri’s Inner Workings: DNA for data storage and computing, DNA helices are easy to amplify and modify, and are generally quite stable. DNA is made up of four chemical bases–adenine, guanine, cytosine, and thymine–which can be encoded into four different pieces of information instead of two, as is seen in traditional binary silicon systems. This means that DNA can store more data compared to

n October 2019, Elon Musk tweeted using Starlink for the first time, hinting that our future Internet will be space-based. Starlink is a satellite-based network created by SpaceX that can beam high-speed Internet anywhere on Earth. According to Satellite-Based Internet: A Tutorial, satellites are used to connect heterogeneous network segments and provide omnipresent Internet access, regardless of one’s geographical location. The system consists of space and ground segments, allowing access to areas that are not served by a fiber or cable connection. SpaceX has launched 60 Starlink satellites to date and is planning to launch a total of 12,000 in the coming years. The company is confident about offering Internet services in the U.S. by mid-2020. With our insatiable demand for data, private companies are competing to launch thousands of satellites. Apart from SpaceX, there’s OneWeb–a startup that launched six satellites in April 2019 and is scheduled to begin service in the Arctic in late 2020, and globally in 2021. Amazon recently launched Project Kuiper and is proposing to launch and operate 3,326 satellites. Although the company has not disclosed many details, Adam Jonas from Morgan Stanley predicted that Project Kuiper is a US$100 billion opportunity (CNBC, 2019). In the coming decades, we may witness a space rivalry among tech conglomerates in competing to be the best service provider. –JC

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January 2020

the classic silicon chip. Scientists are diligently exploring the feasibility of DNA storage. Named by TIME as one of the best inventions of 2019, Catalog–the biotech startup behind DNA Data Writer, prints data on synthetic strands of DNA. It has successfully stored 16 gigabytes of English Wikipedia text onto a DNA strand, which is a promising start for the technology. Currently recording data at four megabits per second, Catalog is working on hitting its target of storing 125 gigabytes a day. The company is planning to provide DNA data storage services for the federal government, IT companies, and the entertainment industry, with the aim to start commercial pilots by this year. –JC

Volumetric Displays

Hi Resolution DICOM medical data being displayed on a Voxon VX1 Volumetric Display. Photo courtesy of Voxon Photonics.

uch to the surprise of unsuspecting fans, Tupac Shakur made headlines for his appearance at Coachella in 2012, almost 16 years after his death. Today, the 2D display technology behind that feat has devolved into little more than a parlor trick, and more sophisticated volumetric displays are taking the world by storm. While traditional holograms scatter light onto 2D surfaces, volumetric displays produce images in three-dimensional space. Some variants use laser beams to trap and manipulate single particles of cellulose in the air, as another set of laser beams project light onto them. When the illuminated particle moves, it’s perceived

as a suspended image. Others use lasers to ionize air particles and create glowing plasma dots, which produce the image. Volumetric displays can be viewed from any angle and are autostereoscopic–that is, they don’t require apparatuses like 3D glasses or headsets and are visible to the naked eye (Nature, 2017). Although the technology hasn’t been commercialized due to scalability and safety issues, it seems promising, to say the least. Not only could it be the next step in interactive advertisement, but it could also be used to create training simulations for doctors or soldiers, help track satellites, and act as a new medium for artistic expression. –KA

Hardware

Holosonics udio advertising is undeniably the next big trend in the world of marketing. In his book Sonic Warfare: Sound, Affect, and the Ecology of Fear, Steve Goodman writes that holosonic and directional sound devices can effectively facilitate micro-locational targeting for audio advertising. When individuals enter the zone of the sound beam, it will sound as if someone were speaking to them, even though no one else in the vicinity will hear the sound (Goodman, 2012). Founded by Dr. F. Joseph Pompei, Holosonic Research Labs focuses on manufacturing the directional sound system, Audio Spotlight. It has already been used in supermarkets in New Zealand to promote a fair trade brand, All Good Bananas. Using the technology, manufacturers can deliver detailed information on the product to customers and encourage certain behaviors, such as the purchase of environmentally friendly and fair trade products. Directional sound technology breaks the mold of traditional visual advertising, allowing pertinent information to be shared with the customer while allowing for a serene environment. Holosonics has a wide range of applications outside marketing as well, such as use in museums and galleries. –JC

Sustainability

Artificial Photosynthesis inding a sustainable, limitless energy source is a narrative that’s told again and again in science fiction. While its origin in these stories is typically alien, scientists are harboring an energy source that’s much closer to Earth. In fact, you don’t have to look further than your windowsill. Photosynthesis is the process by which autotrophs convert carbon dioxide, water, and light into glucose and oxygen through the transfer of electrons. Artificial photosynthesis (AP), by contrast, splits water to create hydrogen and oxygen using chemical manipulations. The resulting hydrogen can fuel electric cars, store solar energy more efficiently

he effectiveness of D-methionine (D-met) pills in preventing hearing loss is giving hope to veterans and construction workers who have been affected by the biological damage their occupations may cause. Audiologist Dr. Kathleen Campbell found in 2011 that D-met is able to protect against noise-induced hearing loss when tested on chinchillas and cancer patients who take chemotherapy drugs that cause hearing loss. In 2016, she conducted a test on drill sergeant instructor trainees during their 11-day weapons training and found a similar effect. Cells in the inner ear are affected by prolonged sound exposure and when these cells die, the individual’s hearing will be degraded. D-met stimulates the body to

produce glutathione, a natural antioxidant that may neutralize free radicals after noise exposure (Campbell, 2011). Preclinical studies show that D-Met, which can be found in dairy foods, can reverse hearing loss up to seven hours after noise cessation (Campbell, 2011). The future usage of D-met will not be confined to adults working in specific industries. According to a WHO report from 2019, almost 50% of people aged 12 to 35 years are at risk of hearing loss due to prolonged and excessive exposure to music from personal audio devices. The problem of hearing loss is increasingly affecting adolescents and even children. Campbell partnered with Jennifer Seibert from GAP Ventures in 2015 to establish MetArmor, Inc., which is developing a commercial formulation of D-met (Translational Research in Audiology, Neurotology, and Hearing Sciences, 2016). –JC

than cell batteries, and be converted into energy-dense hydrocarbon fuels like methane and ethanol (Futurism). German powerhouses Siemens and Evonik launched an ambitious project, Rheticus II, in October last year. It will see the completion of a plant next year that will use carbon to produce butanol and hexanol–to be used for “research purposes” at this stage (Siemens). The commercialization of AP-derived liquid fuels will take time. Prashant Jain, a chemist from the University of Illinois at Urbana-Champaign, has achieved the conversion of carbon into propane and methane. He believes “we’ll need at least a decade to find practical CO2-sequestration, CO2-fixation, fuel-formation technologies that are economically feasible,” but says that “every insight into the process

improves the pace at which the research community can move” (Science Alert). While we are a ways away from seeing AP impact the energy sector, we’re entering a crucial time for the technology, as we grapple with the escalating urgency of climate change. –MC

Biotech

D-methionine pill

January 2020

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Computing

Neuromorphic Computing

Hardware

Smart Dust omposed of microelectromechanical (MEM) sensors known for their microscopic size (Kahn et al., 2000), Smart Dust packs quite a punch as a wireless communication system. Not only can it remain suspended in the air for hours to detect atmospheric conditions, it can also store, process, and transmit this data seamlessly. Positioned at the intersection of elec-

Bionics esearchers today are developing bionic limbs that far surpass traditional prostheses, allowing for better movement and, in the case of the bionic hand, even granting the user a sense of touch. The Bionic Leg, developed by researchers from the University of Utah, features force and torque sensors, accelerometers, and gyroscopes. The corresponding computer processor uses AI to determine the user’s rhythms, motions, step length, and walking speed. It activates motors that power the leg, providing a push that makes it easier to walk upstairs and navigate obstacles, significantly reducing the strain on the body. Research groups in Switzerland and Italy have created bionic hands that use electrodes to deliver sensory information to the brain. The system involves analyzing the user’s intentions, providing real-

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discipline that intersects biology, computer science, and electrical engineering, neuromorphic computing is bringing us one step closer to the AI of our imaginations. The field, which is in its infancy, involves designing computing architectures that mimic the structure of a human brain–an organ that carries out a volume of synaptic connections that’s comparable to a one trillion bit-per-second computer processor (The Human Memory). A neuromorphic chip can perform parallel computations that were only possible on a supercomputer, and has groundbreaking pattern recognition and deep learning potential (MIT, 2018). The technology’s origins trace back to Moore’s Law, which states that the number of transistors on an integrated circuit will double every two years–a paradigm that has guided the pace of the semiconductor industry. Manufacturers have been using

‘process node scaling’ to increase transistor density until the early 2010s, but have since been struggling to further shrink nanometer processors. Currently, progress is mainly limited to improving the efficiency of existing transistors. Recognizing that process node scaling no longer makes good economic sense, Intel introduced Pohoiki Beach last year, which is a 64-chip neuromorphic system that can crunch data one thousand times faster than specialized processors while using less power. Researchers see it as having the potential to meet the speed and efficiency demands of emerging technologies, such as autonomous vehicles and smart homes. It’s still difficult to predict when neuromorphic computing will be commercialized, but the diversification of computing architectures is a promising start for machines of the future. –MC

tronics and nanotechnology, Smart Dust can be engineered to be invisible to the naked eye. Although it’s still in its nascent stages, Smart Dust could be commercialized within the next decade if privacy concerns are addressed. Many are wary of being monitored without their consent if the technology falls into the wrong hands. Potential applications of the technology have expanded far beyond the military uses proposed in the 1990s when it was first conceptualized by American

think tank, RAND (Hsu, et al. 1998). By collecting data on conditions such as light, vibration, temperature, and the magnetic field, Smart Dust could help to detect manufacturing defects, assist in rescue missions, monitor habitats, and aid space exploration (ICEMTE, 2017). As companies like Cisco and IBM invest in their development (Forbes, 2018), Smart Dust systems could revolutionize wireless communication and open up avenues for data collection that are as yet unexplored. –KA

Kerry Finn was one of 10 people who tested out The Bionic Leg at the University of Utah. Photo courtesy of Mark Helzen Draper / University of Utah College of Engineering.

Hardware

January 2020

time feedback on the hand’s progress, and converting that information into electrical stimuli. The University of Utah conducted a similar project using electrodes to map out sensory reactions caused by external stimuli. The map was then programmed into the bionic hand, creating a close approximation of the reactions of a natural hand. Bionics is a game-changer for the prosthetics industry. Leg prosthetics are heavy and don’t adequately take the pressure off the leg stump, making it difficult for the body to walk for long periods. Also, many people abandon hand prosthetics due to the sheer frustration of operating a body part with no sense of touch. When produced on a large scale, the technology could dramatically elevate the quality of life for amputees and those in need of artificial limbs. –NB

January 2020

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Decoding Reality When in the wild, how does blockchain thrive? By KENNETH BOK

he long-term utility of any technology is often measured by its essentiality, determined by the extent to which its use becomes second nature. In other words: the more invisible, the better. Take the Internet, for example; the ability to complete an online purchase, access a wealth of information, or stream a film are all activities we now take for granted. As the very infrastructure that now underpins modern commerce, finance, social relationships, and communication, the Internet’s essentiality cannot be overstated. But when was the last time you thought about it? For those in the blockchain space, this seamlessness is our ultimate goal. With more traditional enterprises experimenting with the tech and governments working to enact supportive legislation, a paradigm shift is underway. Much like the Internet, blockchain is an infrastructure, rather than a tangible product. Its presence is not meant to be felt or seen. Blockchain is there, behindthe-scenes, set to impact processes from how food is tracked to the way we vote in elections. Today, the question surrounding blockchain should no longer be a matter of How does blockchain work? but How can blockchain work for us?

In code we trust

espite its intangibility, blockchain does have applications that are more apparent than others. When taking its traits of transparency, traceability, and immutability into consideration, it’s evident that the technology is bestsuited to copyright or industries such as luxury goods, where establishing a given item’s provenance is essential to its value. The inability to manipulate data once recorded on a blockchain has also been a boon for copyright innovation, especially in the music industry, where a transparent, unalterable ledger can prove if a consumer has the rights to a piece of music. This is an avenue that streaming giants, such as Spotify, have begun to explore to solve their issues with music attribution. 68

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January 2020

Similarly, many higher education institutions have looked to implement blockchain-based digital diplomas to avoid issues of tampering or the loss of a physical certificate to the benefit of both students and prospective employers alike. In Singapore, OpenCerts introduced blockchain-based, tamper-resistant education certificates in an initiative established between SkillsFuture Singapore, Government Technology Agency, the Ministry of Education, and Ngee Ann Polytechnic. When it comes to high-value assets– such as wine, diamonds, artwork, or luxury leather goods–blockchain is also being used by companies to preserve their brand prestige and product quality. DeBeers, the world’s largest diamond producer by the value of its gems, worked with five diamond manufacturers to develop Tracr, its in-house supply chain blockchain platform. It allows users to be assured of the authenticity of their diamonds by tracing the gem’s journey from mine to cutter, polisher to jeweler. Tracr will also ensure that all diamonds are of ethical origins.

The ongoing ideological chasms between pioneering projects and legacy organizations impacts the pace of adoption, as they grapple with the opportunities and risks of decentralization and transparency that it offers.

Mastering the middlemen

igital transformation has often plugged the promise of greater operational efficiencies through automation. Blockchain, with the help of

smart contracts, is taking it a step further. In industries that have supply chain systems spanning beyond borders and across multiple suppliers, producers, and merchants, blockchain can help to provide a transparent ledger, where the parties can view all transactions and activities. With the ability to encode specific parameters and conditions, smart contracts can carry out business agreements while simultaneously verifying that the conditions have been met. Smart contracts can be implemented at every level of the supply chain to execute traceable service payments or shipment authorizations. This system reduces the need for arduous and often paper-based administrative tasks, and independently audits for document submissions or transaction records. The Chinese outpost of the American retail behemoth Walmart has developed

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a blockchain-based supply chain tracking platform to address local issues with food safety (Coindesk). It allows consumers to precisely identify the source of their food– from farm to grocery store–while farmers and suppliers benefit from a far more streamlined and secure supply chain. In the insurance industry, blockchain has the potential to drive the creation of new systems, security protocols, and business models that provide tailored services at competitive prices. Smart contracts allow for a more autonomous underwriting process while enabling the automated issuance of new insurance plans, verification, and claim settlements. They can also reduce fraud, human error, and make room for products like microinsurance, which is often too costly to offer under the traditional model when accounting for labor overheads.

Playing the game

ike all technologies, blockchain will soon need to confront the realities of mass-adoption. The staggering number of use cases across a myriad of sectors already proves its real-world utility. With the global blockchain market projected to exceed US$2.3 billion by 2023, the willingness to explore its potential is apparent (Research and Markets). This is not to say that problems don’t exist. Firstly, scalability is a challenge for today’s blockchains, as slow network speeds can’t compete with those offered by legacy players such as Visa. Indeed, the company’s ability to carry out 20,000 transactions per second far supersedes Ethereum’s 15 transactions per second. Many projects are striving to address this issue, implementing mechanisms for

greater transaction throughput. All technological innovations are characterized by infrastructural change as much as a shift in mindset. The ongoing ideological chasm between pioneering projects and legacy organizations impacts the pace of adoption, as we grapple with the opportunities and risks of decentralization and transparency that it offers.

hough early blockchain adopters struggled to bring their pilot projects to scale, the technology has matured alongside our understanding of its commercial value. No longer on the fringes of the tech industry or academia, blockchain has found its way into enterprise efforts and regulatory discussions, but it still has a long way to go. Blockchain has been in the real world. You just never needed to see it.

January 2020

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FEATURES FOUNDER STORIES

Consistency Above All Click Ventures Founder Carman Chan discusses her path to success By JASMINE CHAN

ven though Carman Chan is one of Asia’s most influential women in tech, she is continuously looking for ways to further expand her reach. Named by Preqin as the ‘most consistently top-performing VC fund manager globally,’ Chan’s firm, Click Ventures, invests in early- to Series A-stage tech startups in Silicon Valley and throughout Asia. It has invested in 50 startups since founding and boasts Spotify, Meetup, and Memebox as among its portfolio companies. Chan’s motto has always been to “[turn] your disadvantages into advan70

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January 2020

tages”–an idea that she has applied throughout her career as a serial entrepreneur, tech columnist, and now, the founder of a world-class VC firm. Jumpstart sat down with Chan to discuss her path to success and how she hopes to take the lessons she’s learned to inspire female investors and the next generation of innovators.

Startup street

han first entered the innovation sector upon graduating from the Hong Kong University of Science

and Technology, where she majored in Pure Mathematics. Following graduation, she struggled to find a gripping way to improve her English. Despite being admitted into Imperial College London’s prestigious doctoral program for Mathematical Finance, she chose instead to establish her first startup, EnglishStreet.com, an online ‘edutainment’ platform. “My passion and focus at that time was making English learning more interesting. Therefore, the Ph.D. offer from Imperial College became less interesting for me,” she says. The company scaled rapidly and was covered by Harvard Business Review as a successful business case. It was acquired in 2000 by Hong Kong Economic Times, a Hong Kong-listed newspaper group. Chan would move on to found her second startup in 2007; Click Limited was an online ‘edutainment’ community for kids aged 6 to 12-years-old. Tencent’s first CFO, Patrick Tsang, and Cherubic Ventures Founder Matt Cheng were among Click Ventures Founder Carman Chan. Photo courtesy of Click Ventures.

FOUNDER STORIES FEATURES

Most of the time, I found that my portfolio companies’ founders liked the questions I asked them. I have been a founder myself, so I can ask a lot of detailed questions that can provoke the founders to think. the company’s investors. Click Limited merged with Hiiir Inc. and went on to be acquired by FarEasTone Telecommunications in 2013. With a wealth of entrepreneurial experience under her belt, Chan decided to pursue her ambitions in the investment space, eventually founding Click Ventures in 2015. “I have met so many investors as a founder, making me curious about the other side of the table–the investment side. I became an angel investor for two years when I exited my own company six years ago,” she says.

email pitches per year, which doesn’t include the ones she hears at pitch competitions, demo days, and other events. She stresses the importance of being concise when it comes to perfecting the pitch because “VC firms usually have a few seconds to look at your pitch, so these few seconds are very important.” Another piece of advice she gives to startup founders is that they often make the mistake of not presenting a clear business model and traction data when pitching. Traction data is essential because it reflects whether the startup fits well with the firm’s investment thesis. After handpicking a portfolio company, Chan will ask detailed questions about the profit motive and daily operations of the company for the founder to ponder when refining their business plan. Through her experience, she’s able to understand the founders’ mindsets and spark an effective brainstorming process to take the business to the next level. “Most of the time, I found that my portfolio companies’ founders liked the questions I asked them. I have been

a founder myself, so I can ask a lot of detailed questions that can provoke the founders to think,” she says. When working with portfolio companies, Chan’s objective is always to accelerate and inspire innovation, as Click Ventures seeks to invest in transformative businesses. Chan cites the notable example of Spotify, which pioneered music streaming around the world. She emphasizes the power of technology in reinventing old business processes and generating new waves in the industry. “They leveraged a streaming technology that just matured at that time, introducing the idea that you don’t need to download music anymore. So, in this case, they redefined a business model,” she adds.

Nurturing the youth and the outsiders

aving had the opportunity to experience all sides of the startup landscape, Chan is keen on inspiring corporates and budding entrepreneurs as a way to nurture the innovation sector.

Clicking into place

lthough being an entrepreneur gave her invaluable insight into the startup ecosystem, Chan says that she had to develop a new perspective as an investor, as the emphasis is on consistency, rather than growth. “We had been asked by our [limited partners] whether we could continuously generate top performances. That’s why we have been focused on creating an internal process to achieve a consistent top-performing result,” she says. Chan breaks down this process into two parts: (1) identification and (2) a laser-focus. The first step is to identify startups with business models that suit the focus of the firm. “Recognizing a business model is not that easy. We need to build a lot of knowledge so that we are equipped in that specific kind of business model that belongs to our focus,” she says. “When you laser-focus on a business model, you can concentrate all the resources on your objectives and target, and you can build a lot of synergy around it.” Click Ventures is “sector elastic” when evaluating potential portfolio companies. Chan receives more than 1,000 startup January 2020

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FEATURES FOUNDER STORIES

She frequently spoke at startup events, but felt more could be done to make knowledge-sharing more effective. “We have invitations to be speakers or judges at a lot of events, so we share our knowledge bit-by-bit, unorganized and scattered,” she says. In 2019, Chan launched Click Academy, a platform that provides events, training, and workshops to those outside the startup ecosystem, thereby empowering them to make their entrepreneurial aspirations a reality. Participants don’t need to come from any particular background or even have a startup idea. They only need drive and curiosity. She’s particularly passionate about inspiring the next generation, and says that young people who are interested in pursuing a career in VC should gain hands-on experience through internships. Click

Ventures has partnered with Harvard University, London School of Economics, and several Hong Kong universities to connect students with these opportunities. She adds that working in startups is equally crucial to becoming a successful VC, as it gives you a comprehensive perspective and insight into what it means to be a founder.

Chan attending the 2019 Female Entrepreneurs Day. Left to right: UBS Group Managing Director Ravi Raju, Dragon General Aviation Group Founder Diana Chou, Click Ventures Founder Carman Chan, Nature Conservancy’s Asia-Pacific Council Co-chair Moses Tsang, FEW Co-founder Anna Wong, FEW Co-founder Ines Gafsi, multimedia artist Sean Lee-Davies, and Sophia the robot from Hanson Robotics. Photo courtesy of FEW.

Chan, who was named by Nikkei Asian Review as one of the ‘Women to Watch in Asian Tech,’ is also an advocate for gender diversity in the startup ecosystem, believing that it’s fundamental to the industry’s overall success. “Since investors are from different

Jumpstart Magazine

October 2019

Since investors are from different countries and of different genders, diversity can provide you with new ideas, networks, and knowledge.

countries and of different genders, sometimes diversity can provide you with different kinds of ideas, networks, and knowledge,” she adds. When facing a male-dominated VC industry, Chan suggests that the support of like-minded female investors and founders will create the cohesion that’s needed to move it forward. In 2019, Click Ventures invested in Female Entrepreneurs Worldwide, an online-to-offline business platform that connects female entrepreneurs and elevates their business on a local and global level. It also invested in SoGal Ventures, a female-led VC firm targeting diverse founding teams.

n the competitive and unpredictable world of VC, Click Ventures has managed to stand out among the rest and achieve consistent results. The recipes for its success are Chan’s leadership and holistic insight into the innovation sector. Beyond her well-established career, she is making good use of her prominent influence in the industry, inspiring the younger generation and female investors to reach for their dreams. Jasmine is Jumpstart’s Editorial Assistant.

October 2019

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Thinking Outside the Box Lessons in strategic acquisitions from Boxful Co-founder Norman Cheung By NAYANTARA BHAT

he epitome of a densely-packed metropolis, Hong Kong experiences the problems of clutter and cramped spaces faced by most other

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January 2020

big cities. As the tech scene heated up, startups providing on-demand storage were an instant hit. But characteristic to any business hub, the sector was subject to vicious competitiveness.

Boxful, founded in 2015, was one of the first onto the scene. Its service, which at the time of launch offered box storage and wardrobe box storage, soon appeared on taxis, minibuses, and advertisements in subway stations. According to Co-founder Norman Cheung, there were once almost 30 firms competing in the same space: some independent ventures, and some launched by established storage companies. Five years on, few remain. Cheung attributes this Hunger Games-esque decline in the competition to several factors. The company’s distinctive turquoise-green boxes, for one, helped to cement the Boxful brand in people’s minds, even if they couldn’t remember the exact name at first. It helped enormously that many Hong Kong apartments can barely squeeze five people into a room, let alone have any space left over for storage. But above all, having significant funding and using it in the right places has served Boxful the best. The company’s most recent move to expand its reach and product offering was the acquisition of Yan Yan, a family-owned Hong Kong relocation company established in 1960. Famous for a series of advertisements that played on television in the 1980s, Yan Yan is a well-known brand amongst Hongkongers. As of June 2019, it’s now a part of Boxful. “It took about a year and a half to sort out, negotiate, and get all the legal work done,” says Cheung. “So, now we’re inte-

FOUNDER STORIES FEATURES

grating–we’re looking under the hood and trying to fix a lot of things.” These upgrades include digitizing paper records, mobile support, and improving the outdated pricing system, to name just three. But the acquisition is expected to contribute many synergies to both companies, including cross-referrals between Boxful and Yan Yan customers.

A modern business with a heritage brand

“

t was a very demand-led decision for us to make this acquisition,” says Cheung. “We just had too many customers coming to us, telling us: we’d love to use your storage service, but can you also help me move these things from A to B?” Boxful’s team, with a strict schedule of pickups, didn’t have the bandwidth to assist with moving furniture. The volume of requests for help with moving was such that the company began to look at how it could incorporate relocation into its product offering. It was then that Cheung remembered Yan Yan. “They were established in 1960, and they were the market leaders in local relocation in the 60s, 70s, and 80s,” he says. “It was a company that every Hong Kong person growing up around that time would know.”

Boxful found the owners fairly receptive when a suitable offer was brought to Yan Yan’s shareholders. Over time, they were finding it challenging to keep up with the highly-competitive relocation market. “I can’t think of any lower barrier to entry than the local relocation market,” says Cheung. “All you need is yourself and a couple of buddies, and as long as you have a truck or you have the ability to rent a truck, you can actually go into the local relocation business.” Due to the ease of entry, Cheung says the market in Hong Kong is extremely fragmented, with over 100 operators in the city. Boxful is now banking on the idea of using Yan Yan’s well-known brand name, and leveraging it with promises of price transparency and professionalism to get an edge on competitors. In addition, combining Boxful’s relatively younger audience (people in their 30s and 40s) and the older age bracket of Yan Yan (those in their 50s and above) has already proved to be synergistic in terms of customer acquisition.

Integrating cultures

ypically, older firms are known to acquire startups in efforts to integrate new tech solutions with their existing products. In contrast, Boxful’s Yan

Yan acquisition is something of an anomaly, bringing specific branding and company-culture challenges to the relatively young startup. “[Yan Yan] is an old brand. We didn’t want to change its heritage, but we wanted to update the look and make it feel younger and more relevant,” says Cheung. In hopes of permeating the startup’s culture and values across both companies, many of Boxful’s staff have been infused into both the relocation team and the Yan Yan head office. Several departments, including Marketing, Finance, and Tech, are also now shared. While Cheung’s team is trying not to dilute Yan Yan’s culture and brand, he acknowledges that the company has been family-owned for a long time, contributing to a much more traditional work ethic that could benefit from agility and flexibility. “Things like putting customers first, ensuring that our staff all work in one cohesive team, service quality–we wanted to make sure we upgrade all these things and keep it at the same standard that we have at Boxful,” says Cheung. Another key aspect of integrating the two brands is an update to the pricing system. Most local relocation services enjoy being able to charge ‘seafood prices’–arbitrary quotations based on anything from

Top and bottom left: A selection of Boxful advertisement campaigns in Hong Kong. Right: Boxful Co-founder and CEO Norman Cheung. Photos courtesy of Boxful.

[Yan Yan] is an old brand. We didn’t want to change its heritage, but we wanted to update the look and make it feel younger and more relevant. January 2020

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FEATURES FOUNDER STORIES

how frazzled a customer seems to where their home is located. Boxful has built an instant quotation system for Yan Yan’s relocation team, who are all provided with tablets to generate a final quote for customers on-site. While Cheung admits that ‘seafood prices’ may be more profitable for operators in the short-term, he believes transparency and consistency in pricing is the more sustainable strategy in the mediumto long-term. Not only will it build customers’ trust in the brand, but it will also help the team stay on the same page. The second half of 2019 saw several changes to Yan Yan’s operations, such as updating the domain name from [yanyanmovers.com] to [yanyan.hk]. Cheung says the first half of this year will bring more significant changes, including upgrading the fleet and the uniforms, and standardizing toolkits for the relocation team.

Becoming a regional market leader

his acquisition isn’t Boxful’s first rodeo, but the company’s previous buyouts have all been orchestrated either to eliminate competition or to ease Boxful’s entry into another market. Boxful’s team in Hong Kong. The company has three regional locations. Photo courtesy of Boxful. 76

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January 2020

Their 2015 acquisition of Hong Kong competitor Go N Live (GNL), for example, was purely “opportunistic,” according to Cheung.

We’ve never relied on [acquisitions] as a source of growth, but more as an opportunity into a new market, an opportunity to gain certain new data or customers or knowledge.

“Boxful and GNL were in the same type of business, so it was more of a competitor acquisition,” he says. “We were acquiring that company for the leads, the customer base, for the data. And also for some of the know-how.” Similarly, buying myBOX in Seoul and ALL IN Storage in Taipei allowed Boxful to cut their scaling period in these markets by at least a year, accelerating the usual process of learning about the customers and the usage patterns in a new market.

Not only did Boxful benefit from having premade sales channels and experienced staff already on the ground, but any competitors angling to make the same move would now need to start from scratch. “We’ve never relied on [acquisitions] as a source of growth, but more as an opportunity into a new market, an opportunity to gain certain new data or customers or knowledge,” says Cheung. An acquisition like Yan Yan goes to show that Boxful’s ambition isn’t limited to regional domination in the on-demand storage sector. It speaks to the company’s intent on improving mobility and cleaner living in urban cities. While usage patterns in specific markets can be affected by changes in any of more than 30 factors (including the rate of car ownership and the real estate price per square foot), Cheung believes that the pace of continuing urbanization in the Asia-Pacific region will dictate the demand for Boxful’s solutions. “The issue with urban cities is, they only get more dense and cluttered over time. It never goes the other way,” he says. “So if you believe in urbanization, be it Hong Kong or Taipei or Shanghai, or any other city, then there’s an increasing need for services like ours.” Nayantara is Jumpstart’s Editorial Associate.

January 2020

Jumpstart Magazine

January 2020

CULTURE AND SOCIETY FEATURES

Science Fiction, Meet Lethal Weapon From drone swarms to smart assault rifles, the face of warfare is about to get a makeover By NAYANTARA BHAT

hen Noel Sharkey was asked about autonomous weapons at a press conference in 2007, it was a new concept to him. He researched the topic at once, discovering that smart weaponry was on the roadmap of almost every branch of the U.S. defense force. Twelve years later, with multiple organizations founded and dozens of United Nations conventions attended, he remains as horrified by the concept as ever. “From my position as a professor of robotics and AI, I thought this was insane– that they had a science-fiction notion of what AI was–but they’ve carried on with it,” he says.

Sharkey is an Emeritus Professor at the University of Sheffield, and an active voice in a massive community of scientists and activists who believe that computers have no place in life-or-death situations. He founded (and now chairs) the International Committee for Robot Arms Control (ICRAC), and holds multiple roles in other, similar organizations. These NGOs campaign at UN events across the globe in a bid to convince governments to halt their proliferation of autonomous weapons. Public support for banning the development of smart weapons is plentiful, with an early 2019 survey conducted by IPSOS for Human Rights Watch and the Campaign to Stop Killer Robots finding that 61% of adults across 26 countries

disapprove of fully autonomous weapons. Yet, many of the world’s most formidable militaries are continuing their research and development in the hope of minimizing human casualties on the battlefield.

Under the hood of military tech

merging technologies have disrupted almost every field, but nowhere is the impact on human life clearer than in the development of defense technologies. Drone technology and AI hold particular interest for military applications. According to Sharkey, the U.S. military can fly over 100 weaponized drones at once, and China has “flotillas of 50 little

January 2020

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FEATURES CULTURE AND SOCIETY

ships that can work together.” The idea is that these swarms will communicate only with one another, using machine vision to identify targets, with a human at the other end authorizing the strike. In military terms, it’s known as force multiplication, or magnifying the force of one person by enabling them to command multiple weapons. Much of the development in this field is secretive, with few defense firms–if any–ready to divulge the extent of their research and testing. Russian arms developer Kalashnikov was one of the only firms to demo a product publicly. In 2017, the company announced that it had developed a fully automated combat module with the ability to control a variety of weapons that run on neural networks, allowing it to identify and strike targets without a human decision-maker present. Guns operated by humans have also been upgraded in various ways. Bullets using lasers to correct their trajectory

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January 2020

(similar to target-locking in guided missiles) have been in development for over a decade, and Reuters reported in October 2019 that the U.S. Army awarded contracts to several parties involved in creating smart rifles. These firearms can remain locked on targets, independent of atmospheric conditions or aim.

A case of discrimination

he most telling part of the race to smart weapons is how long they’ve been in development without being deployed. Sharkey describes the example of Red Owl, a counter-sniper device that uses two microphones to determine the source of sniper fire and shoots back. However, there are many ways such a device can be fooled; for instance, a sniper could be located among civilians–almost certainly leading to casualties. “One of these systems has been around for about 10 years now, and it’s never been

The worst thing for a computer program is to keep putting it in unanticipated circumstances. It will fail, eventually, and you can help it to fail with fairly lowtech situations. deployed because it can’t tell the difference between ricochet and firing,” says Sharkey. Other automated weapons systems can similarly be tricked without much difficulty–just one of the many reasons that NGOs are so vocal about getting development in this area shut down. As early as 2009, there were reports of live U.S. Army drone footage being accessed by Taliban agents using software bought online for less than US$30. Sharkey argues that putting two computer algorithms relating to lethal weapons faceto-face could be catastrophic, and the outcome is impossible to predict. Similarly, a human agent wouldn’t find it too challenging to game a system into failing. “The worst thing for a computer program is to keep putting it in unanticipated circumstances. It will fail, eventually, and you can help it to fail with fairly low-tech situations,” he says. As advanced as machine vision is now becoming, Sharkey believes that the ability to assess the environment contextually and discriminate between military and civilian targets is something robots will never be capable of doing. “You’re not allowed to kill surrendering forces, surrendering combatants. You’re not allowed to kill mentally ill soldiers, either,” Sharkey says. “So you’ve got all these problems of who you’re meant to be able to kill, what’s the legitimacy of the target, and I really don’t think these things are capable of making those decisions.” Also, drone swarms and autonomous jets are designed to operate beyond human parameters of speed. With some jets now being able to fly at Mach 7 and uncrewed jets like China’s Anjian (meaning ‘dark sword’)–which can make maneuvers impossible for a human pilot–in development, there’s little chance of a human being fast enough to observe all the details before making a fully informed strike. Sharkey’s third argument against AI weapons is short and to-the-point: “It’s against human dignity to have a machine

CULTURE AND SOCIETY FEATURES

delegated with the decision of life or death for a human.”

Focusing on the bigger picture

hether or not civilians are soon to become unfortunate victims of killer robots, some aspects of military technology–primarily surveillance-related–are slowly filtering down the pipeline. A September 2019 Carnegie Endowment for Peace report found that 75 out of 176 countries globally are using AI for surveillance. Of these, 84% are using Chinese technology, with 50 out of 63 countries outfitted by Huawei alone. Despite the privacy concerns, defense and law enforcement entities have little choice but to embrace the technology. “With departments of defense–their job is to protect our country as best as they can,” says Sharkey. “But as members of civil society, our job is to say, hold on, that’s going too far, we don’t want that done in our name.” Similarly, Sharkey adds that governments are unable to halt their development of autonomous weapons because they’re obligated to keep up with other nations. China, for instance, pledged in favor of banning autonomous weapons. However, they have nevertheless continued to develop them because until an international ban is imposed, they have to keep up with the U.S. and Russia. Conversely, while many might assume that militaries are pushing for smart firearms, they are often more receptive to NGOs’ concerns than world leaders are. Armed forces prefer to maintain control on the battlefield–a sentiment Sharkey and his associates share. “[AI] is good for games of chess and things, where it’s a closed game with fixed rules,” says Sharkey. “But if the enemy has tricked you, or when the autonomous weapons arrive and it’s a crowd of civilians, at least the military will know it’s been tricked.” It could be several decades–if ever– before fully autonomous lethal weapons are deployed in combat, but if and when that eventuality comes to pass, being aware of the strengths and weaknesses of the technology is essential. J. Robert Oppenheimer, the creator of the atomic bomb, famously regretted bringing his invention to life due to the subsequent global arms race it sparked. It remains to be seen whether the inventors of killer robots will come to feel the same way. Nayantara is Jumpstart’s Editorial Associate. January 2020

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An Act of Kindness

What inspired you to found Gift-A-Deed?

Gift-A-Deed Founder Navin Arjun Soni talks about the power of technology in alleviating poverty By JASMINE CHAN

espite having an established career in commercial shipping, Navin Arjun Soni has devoted himself to creating a tech-driven humanitarian tool. Founded in 2017, Gift-A-Deed connects humanitarian needs with real-time aid on a global scale using geo-location technology. Its app allows donors to identify and deliver resources such as food, water, and medication to anyone in need of assistance, whether it’s to help those living in poverty locally or respond promptly when a natural disaster takes place. Gift-A-Deed also serves as a bridge between NGOs and vulnerable populations, encouraging the efficient distribution of excess resources. The United Nations endorsed the platform as an example of “Tech for Good” in the first year of its launch. Jumpstart spoke to Soni to better understand the company’s founding mission and how he hopes to impact the future of humanitarian aid.

My inspiration came from seeing the pain and suffering of those living in extreme poverty and the wastage of resources. Gift-A-Deed combines the scalability of sharing economy technologies, which provide the convenience of real-time information, and crowdsourcing apps like Pokemon Go!, which adds a fun element to using technology for good. Happiness comes from helping others, which is the cornerstone of Gift-A-Deed. Did your career in the commercial and shipping industry affect your journey in developing Gift-A-Deed? I have had the opportunity to travel the world. One common theme that came out of these experiences was that poverty and income disparity exists everywhere. In developed cities like Hong Kong and Singapore, poverty is hidden, away from dayto-day life. In developing countries like India, and some African or Latin American countries, it is visible, and you are constantly confronted by it. At the same time, I saw, in every city, that people who are living in excess recognize and empathize with those living in poverty. While the intent is there to help others, there was a missing piece of the puzzle, which was a way for them to help people efficiently.

G i f t-A- D e e d F o u n d e r N av i n A r j u n S o n i

in a community to calls-to-action. GiftA-Deed allows anyone who wants to take on charitable acts to do so in their own time and space, without necessarily giving money or committing a significant amount of time, which is not possible for everyone. Gift-A-Deed encourages ‘people2people’ donations. Can you share more about how the app facilitates engagement? Gift-A-Deed also gamifies the charitable giving process by rewarding “giftadeed” points to both ‘taggers’ (people who ‘tag’ needs on the app) and ‘fulfillers’ (people who fulfill the needs). This experience allows a link between the real and digital worlds.

What is the biggest challenge in promoting charity work in our current society?

Can you comment on the role of tech in humanitarian relief?

We need to connect awareness of needs

We have seen technology impact every sphere of our life. The time for using technology for doing good has arrived. Apart from enabling real-time communication, it can also connect people who can bring out the best of humanity and human values. Can you share the future of Gift-A-Deed with us? We have chosen to grow organically through partnerships with various communities around the globe. At the same time, we are engaging with governments and NGOs to make them aware of our platform, which is free to use for anyone. The future of Gift-A-Deed is to be a standard for global humanitarian platforms and to stay true to its purpose of helping to improve and save the lives of those in need anywhere, anytime. giftadeed.com

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January 2020

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January 2020

ENTERTAINMENT REVIEWS LIFESTYLE

P od c as t

Vanguard by Shopify Studios Entrepreneurial journeys on the road less traveled

leather goods store selling custom fetish wear for the LGBT+ and kink-friendly communities. A thriving group of female fans drawn by a manga comic set in a Nigerian university. A haute couture designer of of hijabs made from vintage scarves. All these stories and more can be found in Vanguard, a two-season podcast offering from Shopify Studios–the ecom-

d oc umentary

Tony Robbins: I Am Not Your Guru Unleashing the skepticism within

idely considered to be the most high-profile life coach today, there’s no escaping the name ‘Tony Robbins’ when browsing the self-help aisle. Tony Robbins: I Am Not Your Guru gives an inside look at his seminar, ‘Date With Destiny,’ which took place in Florida in 2014. Over 2,500 participants gathered to witness how Robbins could “change life in a moment.” The two-hour documentary condenses the six-day sem-

merce platform’s signature content house. Hosted by writer and activist Anshuman Idamsetty, each episode gets to the heart of an unconventional entrepreneurial journey–be it the founding story or the greatest challenge overcome. Idamsetty has a knack for getting guests to open up and comfortably discuss tough topics, often doing so by expressing his own vulnerabilities, such as his mental health struggles, and the challenges of representation he has faced as a South Asian man. Many of his sentiments are echoed by his guests, who have all built businesses to improve the lives of niche communities. In an episode discussing Northbound Leather (the aforementioned fetish wear store), owner and proprietor George Giaouris candidly speaks of the death of his son, and overcoming his grief to continue running his business for the benefit of his customers and employees. As one of the only businesses in 1980s Toronto to openly support the queer community, Northbound’s journey has been equal parts heartwarming and melancholic. Similarly, Jacque Amadi’s Adorned by Chi has grown from an anime-inspired lifestyle business to a fully-fledged content creator on the hunt for licensing deals. The manga, which follows five Nigerian college girls with superpowers, raised US$18,000, or $3,000 higher than the Kickstarter goal. Its popularity now sends Amadi to licensing expos around the world in hopes of expanding the brand into toys, makeup, and more. What sets Vanguard apart is the attention it pays to thorny topics, and the warmth and respect with which Idamsetty discusses the nuances of unfamiliar subcultures. It’s all too easy for discussions of marginalized communities or rose-tinted stories of entrepreneurial success to become trite, overplayed, and laden with buzzwords that soon lose meaning. However, the well-researched episodes combined with Idamsetty’s compassionate and conversational style of interviewing make Vanguard an easy listen. –NB shopify.com/podcasts Cover art courtesy of Shopify Studios. inar, bringing the ‘Tony Robbins experience’ to the masses. Directed by Joe Berlinger, an American filmmaker and a former attendee of the seminar, the film follows Robbins and his team as they plan for and execute the highly-anticipated event. Robbins began the seminar saying to the participants: “I didn’t come here to fix you because you’re not broken. Even if you think you are broken, I’m here to tell you and show you’re not.” During the seminar, Robbins handpicked several participants to share their struggles in front of thousands of strangers, which always led to a tearful confession. They often revealed a personal trauma and took steps to heal, such as making a break-up phone call while on speaker mode. Robbins peeled away their heavily-guarded layers with calculated questions, eventually finding their deep-rooted problem. Throughout the film, Robbins stresses that he is not a guru, but the documentary paints him as a healer in a broken world, possessing the ability to lead lost souls to the light. Although the documentary feels somewhat like an infomercial, it creates a mirror effect on the viewer, forcing them to reflect on their life. Whether or not one considers life coaching to be a pseudoscience, it’s fascinating to witness how Robbins can uplift people and transform their lives for the better–insofar as it appears on film. Ultimately, the documentary explores how spectacle and a confident personality like Robbins can inspire people to change. The documentary is available to stream on Netflix. –JC netflix.com Photo courtesy of Netflix. January 2020

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January 2020

BOOK REVIEWS LIFESTYLE

non-F ic tion

Edge

Lost and Founder

Turning Adversity into Advantage

A Painfully Honest Field Guide to the Startup World

hile most self help books make interesting bedside reads, they seldom offer much more than repetitive– often unsubstantiated–advice. Enter Edge. Written by Harvard Business School professor Laura Huang, the book distills years of award-winning research into actionable suggestions on positioning yourself for success in any sphere of life. It promises to “show how you can harness your personality and strengths–and even your weaknesses–to create a unique edge.” As a child of immigrant parents living in the U.S., Huang is no stranger to bias and the obstacles it can create. In her experience, however, success is about manipulating prejudice to work in your favor. Right from the outset, she draws the reader in with a convincing testimonial to her method, recounting an incredible story about how she “gained an edge” over Elon Musk. Once you’re roped in, the book becomes difficult to put down. Sectioned into four parts, Edge intends to teach you how to ‘Enrich’ the lives of those around you, ‘Delight’ them into trusting your skills, ‘Guide’ how they perceive you and in doing so, amplify the outcome of your ‘Effort.’ Huang sprinkles each section with real-life examples of Olympians, entrepreneurs, and other successful people who were able to turn their fortunes around. However, she goes a step further in connecting with her readers and supplements these examples with stories that the average person would find more relatable, including several personal anecdotes. Although she relies on scientific research, her insights are easily digestible. She doesn’t posit success as a code to crack, but emphasizes its contingency on both internal and external factors. Her method explains how internal skills can be honed to overpower any perceptions that predispose us to failure. At its core, Edge directs the reader to understand themselves as a first step, which is exactly what makes it an engaging read. –KA penguinrandomhouse.com Cover art courtesy of Penguin Random House.

ritten by Moz Founder Rand Fishkin, Lost and Founder is a practical account of the ins and outs of building a tech startup, from product development to fundraising, growth hacking to leadership. Prior to its publication, Fishkin was known for being a respected authority on SEO due to the success of his marketing software startup, which raised US$10 million at a $120 million valuation in 2016. The book offers a disarmingly honest look at startup life. In chapter three, Fishkin dedicates a whole section to discussing why being a ‘CEO Is a Really (Shitty) Job.’ He relays the fact that a CEO’s time is bogged down in mundane tasks, such as hiring, attending conferences, and fundraising, as opposed to developing the product that ignited their passion in the first place. In chapter eight, he debunks another false notion about entrepreneurship, which is that successful founders will get rich fast. He included a graph charting his salary from 2001 to 2015 and compared it to the average salary of a software engineer in Seattle. Needless to say, the difference was marginal. On the surface, Lost and Founder is an effective ‘field guide’ for navigating the startup world, as the title suggests. But its tone shifts slightly in the later chapters. One can’t help but sense his distaste for, or–we dare say–hatred toward certain actors in the ecosystem. It’s evident that his exit from the company he spent 15 years building was not entirely amicable. This underlying sentiment is at odds with the overall tone that the book ascribes to–that is, to provide a transparent and objective view of entrepreneurship. Fishkin’s introspection is the most compelling when he discusses why vulnerability does not equal weakness as an entrepreneur. For example, he shares his brain tumor diagnosis in the book, which put his professional struggles into perspective. All in all, the book is a great resource for aspiring entrepreneurs, but offers less value to those who have already set off on their journey, even if his playful writing style makes for an enjoyable read. –MC penguinrandomhouse.com Cover art courtesy of Penguin Random House. January 2020

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LIFESTYLE PRODUCT REVIEWS

Phizz Hydration station on-the-go

ffervescent tablets are nothing new, as their origins date back to the late 19th century. Boasting portability and ease-of-use, they have a range of applications for the consumption of supplements and pharmaceutical products. Most consumers only come across them in the checkout line, where they may pick up a

TinyBitz Personalized goodies that are meaningful and practical

ith a whole new year of birthdays, anniversaries, baby showers, and holidays ahead, it can be tough to think of meaningful gifts for loved ones. Selecting gifts for babies and kids is even tougher, as they outgrow clothes, toys, and shoes so quickly. When Petina Chan’s niece was born, she struggled with the same problems. What could she get that would remain useful and meaningful as she grew up? This question led her to found TinyBitz and begin producing customized baby blankets. The blankets come in several different designs, with elements that can be adjusted to the buyer’s preferences. With soft, 100% cotton, and each blanket knitto-order, these are comforting and lasting gifts for young children that–unlike other child-friendly gifts–can’t be outgrown so quickly. “What makes it even more special is that our customers are part of the creative process, where they get to fully customize the blanket to their preference,” says Chan. 88

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January 2020

tube of Vitamin C tablets when they feel a cold coming on. Companies like Phizz are reviving the tablets with novel formulations to keep up with modern lifestyles. Founded in London in 2015 and made in Germany, Phizz tablets have a hypotonic formula packed with five electrolytes and 13 vitamins and minerals, which are designed to aid hydration and help your body release energy. According to Co-founder Daniel Cray, the team worked with a neuroscientist from Oxford University and a Swiss laboratory to create

a hybrid formula intended to aid travel fatigue, athletic performance, hangovers, and general wellness. Simply pop a tablet or two in water and watch it dissolve in around a minute. As the name suggests, the resulting beverage is slightly fizzy. I tried the Orange flavor and although it tastes artificial, as expected, it’s comparable to any other sports drinks on the market. While I didn’t feel a difference in energy levels, I did have a rather successful workout session after drinking Phizz (although it could be down to a host of other factors). The tablets, which have the ‘Amazon’s Choice’ seal of approval, are raved about for being a miracle hangover cure. Phizz tubes are made from recycled materials, and the company also hopes to reduce use of plastic bottles and cans by encouraging consumers to consume the product with reusable containers. The tablets currently come in two flavors, ‘Orange’ and ‘Apple & Blackcurrant.’ A tube of 10 retails for £4.99, or 20 tablets for £7.99, and can be purchased on the Phizz website, Amazon, and several other retailers and e-tailers. –MC phizz.co Photo courtesy of Phizz.

Also, the blankets are machine-washable–a quality that is sorely needed by parents who probably have plenty of spills and messes to clean up. Since its founding in 2013, TinyBitz has expanded to personalized blankets

for adults and even pets. More products, all offering customization options, are launching this year, including cushion covers and merino wool scarves. –NB tinybitz.com Photos courtesy of TinyBitz.

PRODUCT REVIEWS LIFESTYLE

Hush Home The OnePillow is the only pillow you’ll ever need

hen it comes to perfect quality sleep, selecting a suitable pillow is the utmost priority. Hush Home looked to sleep science when developing its advanced sleep products,

which include pillows, mattresses, and bedding. Hoping to bring the five-star hotel experience to one’s home, Hush Home created OnePillow, which was developed in-house by former Apple and Tesla designers. It features a unique three-chamber design with two soft outer chambers and an adjustable inner chamber of interlocking memory foam. The memory foam is the core of the pillow, support-

ing a sleeper’s head and neck. If you’re a side-sleeper or a back-sleeper, OnePillow can also provide neck and back support. I love the smooth surface of the pillow and the highly-accommodating memory foam, which helps to ease my neck pain. The plush microfiber on the outside offsets the spongy memory foam inside, generating an overall feather-like effect. I was amazed by the OnePillow’s balanced combination of softness and firmness. Unlike other fluffy pillows, it doesn’t push against the side of your face, but still manages to preserve its fluffiness at the same time. When you press against the pillow, the memory foam instantly rebounds in the blink of an eye. Even if you only sleep on a particular side on the pillow, OnePillow doesn’t lose its original shape. It’s ideal for sleepers who are looking for gentle support. Hush Home provides a 100-night home trial for all its sleep products. You can book an appointment for a private sleep experience in its Quarry Bay showroom in Hong Kong. Prices start at HK$800. The OnePillow is available for purchase both online and offline. –JC hushhome.com Photo courtesy of Hush Home.

January 2020

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January 2020

EVENTS

Cyberport Venture Capital Forum November 5 - 6, 2019 Cyberport, Hong Kong

eaturing a program designed for investors and founders alike, Cyberport Venture Capital Forum (CVCF) kicked off its two-day program in Hong Kong with compelling updates on the city’s investment landscape. CVCF is the flagship event from Hong Kong-based Cyberport, a digital innovation hub that offers funding and office space to startups and technology companies. In addition to its regular programs, the organization has also launched the Cyberport Investors Network (CIN) and the Cyberport Macro Fund (CMF) in recent years, both of which have raised funds to support startups. Cyberport Chairman Dr. George Lam stated during his opening speech that despite macroeconomic conditions, he expects tech development in the Greater Bay Area to continue growing. He also announced key figures from the Macro Fund: in 2019, it invested HK$106 million into 14 startups, bringing total startup funding volume to over $600 mil-

Intellectual Property Innovation and Entrepreneurship Contest: HK Chapter November 6, 2019 Cyberport, Hong Kong

he Intellectual Property Innovation and Entrepreneurship Contest (IPIEC) brought Cyberport’s flagship Venture Capital Forum to a close in November, with its Hong Kong chapter

lion when counting $500 million in co-investment deals facilitated by CMF. The CIN, meanwhile, has been steadily adding to its membership, with over 100 investors and HK$360 million raised for Cyberport startups. Currently, around 1,400 startups and tech companies are based there. The program also included a lineup of panels and keynotes centered on the theme ‘The New Frontier of Tech Venturing.’ VCs spoke on topics ranging from growth in the corporate VC space to strategy development for family offices. Speakers included Gobi Partners China Managing Director Michael Zhu and Tencent Invest-

ment Managing Director Dan Brody. While these discussions provided an informational base for both startups and investors, the Innovator Showcase and the Founder Stage provided opportunities for product demos and pitches. Startups were also able to take advantage of the event’s Investor Matching platform to schedule meetings with potential backers. With CVCF’s exciting lineup of speakers and its growing network of reputed investors, it has proved to be one of Hong Kong’s most robust platforms for startups in search of funding. –NB cvcf.cyberport.hk Photo courtesy of CVCF.

featuring 10 promising startups shortlisted from 94 applicants. The Hong Kong chapter was held as a regional qualifier for the IPIEC Global competition, which facilitates collaborative innovation across industries and supports promising entrepreneurs looking for investment. The participants, including Cyberport’s incubatees VAR Live, Artro Digital Ltd., and Wildfaces.ai, battled for a chance to compete at the IPIEC Global semi-final in Xi’an. Participants at the Hong Kong chapter were required to answer a round of questions at the end of their six-minute pitch, with the adjudicating panel comprising 12 judges. Using potential market growth, IP protection measures, team background, and business model feasibility as judging criteria, the jury chose Light Innovation Technology Ltd. and its light-sheet microscope as the winner. Eric Chan, Chief Public Mission Officer of Cyberport, sat on the judging panel and was impressed by the quality of the competing projects. “The top 10 projects were very innovative and professionally developed. With some more modification and tweaking of

the business models, they could easily be ready for the market. I look forward to seeing the adoption of these solutions and the successful implementation of their commercial models,” he said. Artro Digital Ltd. was named the first runner-up for its suspended 3D imaging technology, and Cellomics International Ltd. was named second runner-up for its liquid biopsy technology. The winner and first runner-up went on to represent Hong Kong at the semi-final. Artro Digital made it to the Grand Final at Guangzhou to compete against other worldwide top 10 finalists for the US$100,000 cash prize. Keeping the contest’s aims in mind, the IPIEC Global has attracted intentional investment of around US$105 million from 65 leading enterprises and 19 industrial parks. Artro Digital Ltd., Co-founder Wiva Wei cited “valuable feedback from the audience and judges” as a crucial benefit of events like the IPIEC, explaining that they help entrepreneurs see “whether we’re daydreaming, or actually adding value to society.” –KA ipiecglobal.hk Photo courtesy of IPIEC. January 2020

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January 2020

EVENTS

Asia Technology Entrepreneurship Conference November 9, 2019 K11 Arthouse

he Asia Technology Entrepreneurship Conference (ATEC) is a conference with a mission to foster tech entrepreneurship and to encourage Asian innovators to start impactful ventures benefiting the region and the world. The event opened with an interesting keynote speech by HKEX Chief Executive Charles Li about the shift from public to private funding, the state of highly digitized payment systems in China, how AI will revolutionize the healthcare industry, and how Europe needs to change its perspective on privacy and data collection. The rest of the morning was taken up by a pitch competition presenting 10 of Asia’s most innovative and promising startups in AI, big data, blockchain, energy, fintech, logistics, pharmaceuticals, and robotics. In the afternoon, attendees moved to the 21st floor of K11, which had a fantastic view of the harbor. The afternoon started with five ATECx style presentations by industry insiders, who spoke about crucial tech trends in their respective areas. This session was followed by the announcement of the winner of the pitch competition, Pakpobox–a company working to revolutionize package deliveries. Bluefield Technology, a company that measures methane levels, was the first runner-up, and the hardware and software learning company EXLskills was the second runner-up. The winners received a combined cash prize of HK$50,000. ATEC 2019 closed with some drinks, appetizers, and networking. All in all, it was a fruitful event filled with passionate entrepreneurs who were keen to make new connections and collective work toward their vision of a better future. –YE facebook.com/ATECstartup Photos courtesy of ATEC.

Invest Korea Week 2019 November 5 - 7, 2019 Grand Intercontinental Seoul

orea has been ranked as the most innovative country in the world by Bloomberg for six consecutive years. During Invest Korea Week, government officials dove deeper into the underlying principles and support systems that have kept the country on top. Invest Korea Week started with an opening ceremony where the keynote speaker, Korea University President Jin Taek Chung, showcased the educational standards of the country. He emphasized the fact that Korea has one of the highest college graduation rates in the world. The day progressed with multiple sessions, where more information about the business environment was shared. The day ended with attendees networking alongside Korean wine and food. The next two days were dedicated to site visits to give attendees a taste of the business environment and products that are being developed. At the Korean Technology Lab, organizers revealed the impressive 5G technologies in development. The products included a new 3D Alexa that would move when spoken to, and a new feature for televisions in which specific broadcasts can be shown in a matrix view (i.e., from all angles, slowing down and speeding up the frames that appear on the television). There was also a sound doctor, which uses AI and audio to notify users of an alteration or defect in a machine. The cockpit of a 5G-connected car was stationed in another room; the car notices when the driver is unwell and reacts by notifying an ambulance and driving to a meetup point. Autonomous driving is mainly tested and developed in the autonomous driving center (pictured), where entrepreneurs are developing the zero shuttle service and other autonomous-related products. The week ended with a tour in the Gyeonggi Startuplab, where different startups presented their products and services and took a tour around the Digital Media City (DMC)–a stateof-the-art digital media entertainment cluster. The purpose of the week was to promote Korea as an investment-worthy country–so did the organizers succeed? The low rate of English proficiency inhibited the speakers, tour guides, and other participants from fully expressing themselves. However, it was clear to attendees that the organizers are very invested in keeping Korea at the top of innovation efforts and are proud of their country’s accomplishments. For all these reasons, Invest Korea Week can soundly be considered a success.–YE investkoreaweek.kr Photo courtesy of Invest Korea Week. January 2020

Jumpstart Magazine

EVENTS

Jumpstart Magazine

January 2020

EVENTS

Infinity Ventures Summit December 2 - 4, 2019 Central World Hotel, Bangkok, Thailand

fter 12 years of the semiannual Infinity Ventures Summit, the 24th edition of the event brought together speakers and attendees from over 50 countries for three days of keynotes, networking, business matching, and more.

Seedstars Summit Asia November 27 - 30, 2019 FACTORY Phnom Penh, Cambodia

eedstars World, a global pitch competition for startups in emerging markets, held its last Asia competition of the year in Cambodia, bringing together early-stage companies, investors, and mentors from over 15 countries. The three-day program kicked off with a startup boot camp on the first day, followed by the Investor Forum on the second. The final day began with workshops and networking. In the afternoon, startups pitched in between presentations from acclaimed speakers and founders. The time then came at last to announce the startups that made it through to the global Seedstars Summit to be held in 2020. The 14 selected companies included Duithape, an epayments system allowing NGOs and governments to distribute payments to unbanked people in Indonesia, and WonderTree, a Pakistan-based platform offering physiotherapy and Special Education using gamification and AR. The other teams were: •

Recyglo: Subscription-based management for businesses

The signature IVS Launchpad event invited 12 companies to pitch their products for the chance to win a prize valued over ¥1,000,000 (around US$9,120). After making it through three elimination rounds, the selected teams had six minutes in front of a panel of entrepreneurs, investors, and past Launchpad winners. True to IVS’ promise to spotlight ‘avant-garde’ market trends, the Summit’s second day featured a session discussing a burning topic: cannabis regulation. Since the royal decree early in 2019 that legalized cannabis for medicine and research in Thailand, various stakeholders–politicians, medical professionals, and law enforcement–have been discussing the next steps. The ‘Awakening the Green Giant: Navigating Asia’s Cannabis and Hemp Regulations’ session tackled this topic in-depth with insights from all supply chain actors. Thailand is one of a network of nations with strict drug laws. The Philippines and Indonesia both enforce the death penalty for drug trafficking, with notable cases like the Bali Nine heroin smugglers–two of whom were executed in 2015. This regulatory shift has cannabis investors, growers,

and distributors seeing dollar signs, but analysts caution that there are many regulatory hurdles ahead. “The development of cannabis generally has a social stigma around the plant, and it has been this way historically since the opium wars, especially in this region,” said Kunal Sachdev, Regional Legal Adviser at law firm DFDL. Despite this cultural legacy, proponents of the cannabis industry are still optimistic about the plant’s path to becoming a Thai cash crop for export. Their cause is aided by a prominent political party advocating for full recreational legalization, which recently gained a significant vote in the governing coalition. Nicole Godresse, Director of Emerging Markets at cannabis research and distribution firm Tilray, added her advice for startups entering the cannabis arena: “Anybody getting into this, I would fly over to Canada and the U.S. and see what people are doing, and see how creative and wonderful this industry is, and bring some of that back to Asia.” –NB ivs.events Photo courtesy of Infinity Ventures.

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Cropital: Crowdfunding platform connecting smallholder farmers to lenders Niunet: Subscription-based digital learning for rural communities in Papua New Guinea TraSeable Solutions: Blockchain-based tracking for the seafood industry Resync: Smart energy management for optimized and reliable power An vui: Digitizing passenger transport systems to increase efficiency SmartPei: Secure payments without the need for a credit card SALA: Academic management platform for admissions and student data iLoan: Blockchain-powered loan aggregator for SMEs in Sri Lanka

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iFarmer: Risk-reduction for farmers through data and financing Web2Ship: Logistics platform matching online sellers with cross-border shipping services Offering Happiness: Surprise-planning platform for gifts and experiences

Seedstars’s talent at discovering and honing startups in Asia became evident through their action-packed and relevant program. Selected startups will pitch in April at the global Summit in Lausanne, Switzerland, standing a chance to win up to US$500,000 in equity. –NB seedstars.com Photos courtesy of Seedstars.

waste

January 2020

Jumpstart Magazine

ONE LAST QUESTION

I would say my trip to Egypt, where we traveled across the Pyramids of Giza, the Great Sphinx monument in Cairo, the Valley of the Kings in Luxor, and rounding the trip off with a two-day dive in the Red Sea. Wing Lee

An Introduction to Early-Stage Fundraising (pg. 18)

When I was 15, I went on a school geography trip to Australia to learn about the landscape and rock formations. The highlight of our visit was climbing Uluru, otherwise known as Ayers Rock. The day that we were supposed to make the climb, it started raining very heavily and the climb had to be postponed. The experience of seeing Uluru in the rain was amazing. The colors were magical, and the waterfalls that fell from various sides of the rock were breathtaking. YeeLing Chang

A Necessary Network Effect (pg. 8)

We had to catch an early morning flight to Okinawa. Inheriting the ‘paranoid traveler’ gene from my dad, I made sure to get to the airport with an excessive amount of time to spare. The only problem was, we misread the flight time. They say your first is the hardest to get over for a reason. Sho Dewan

4 Steps to Jumpstart Your Job Search in 2020 (pg. 30)

Jumpstart Magazine

January 2020

What is one travel experience you’ll never forget? Our cont ributors share their stories

I was at the launch of Garage Phuket three years ago. Our flight was the day after, so we had some time off. Being a startup founder, that half-day was actually my first break in three years, so I still remember the lovely, quiet time at Patong Beach, watching the tides coming in and out. Elaine Tsung

The Much-Needed Return of Honest Capitalism (pg. 9)

I was backpacking around Europe and got lost in Venice at night for three hours. The place is a maze. It made me realize that risks are not something to be feared, but something that gives you the confidence to make difficult decisions. Dave Malhotra

Using Customer Personas Effectively (pg. 21)

On October 31, 1984, the day India’s Prime Minister Indira Gandhi was assassinated by her Sikh bodyguards, I was on a train to Delhi. I witnessed mobs butchering at least 30 people in revenge at close range. That day, I decided to make every effort thereafter to guard any memes of hatred and violence from passing through me to others. Uday Dandavate What’s Next for Smartphones (pg. 12) Many years ago, I visited Cambodia and Vietnam with some friends. I was blown away by the beauty and history of Angkor Wat, and the drive and development of Vietnam as an emerging Southeast Asian country–not to mention the incredible flavors of Vietnamese cuisine. Kenneth Bok

Decoding Reality (pg. 68)

I was visiting Romania with friends during university. One was a keen urban explorer, so we were on the hunt for abandoned buildings she could photograph. We were walking around this plot we found, when a giant truck started speeding toward us. The driver got out and started yelling, believing we were stealing scrap metal. He then stopped, looked at me, and said: “My favorite actor is Jackie Chan.” Min Chen

The Borderless Decade (pg. 51)

January 2020

Jumpstart Magazine

Jumpstart Issue 28: 20/20

Articles inside

Do I Have Your Attention?

The Much-Needed Return of Honest Capitalism

A Necessary Network Efect

Getting Started with 3D Printing